Linode hasn't been best lately. They suffered far too many outages and network issues (especially Fremont data center). We have been seriously considering moving to a dedicated setup because of network issues. (Also the fact that they are inflexible -- we want RAM but not hard disk capacity; they can't help us).
Hurricane Electric 1 in Fremont is, IMHO, a notoriously bad DC - I wouldn't host anything in there regardless of whether it was with Linode (I'm a fan) or another provider.
If Fremont was a random choice of the 4 US DC's Linode offers, I would consider putting in a ticket to be moved to another one of their DCs (they'll do it painlessly for free).
You can add additional RAM in the Extras menu on your Linode. It's expensive and it only lets me add like 300 MB more Ram to a 1GB Linode but they aren't completely inflexible.
The ram additional prices are linear with the next tier linode, so if you want more ram you are better of just buying the next tier and getting bandwidth/harddrive space for free.
This applies to all their extra pricing (other than ips and backups).
I'm upset with the outages but I'm more likely to move my freemont server back to dallas than switch hosts.