So, ok, theoretically, where should we move the servers? Of course, if we were to incur the humongous cost of moving our entire datacenter elsewhere, unfortunately we'd probably have to pass on the cost to the customer. Plus don't forget the downtime that would be involved (between physically moving the servers and overcoming the unknown variables in an entirely new datacenter and network).
We've already discussed Las Vegas. While the middle of the desert would be great and just about entirely free of Act of God problems, most of us would probably end up gambling more than taking care of problem servers.
The truth is, no matter where you live, there is a chance that something will happen and either power will be cut, or the datacenter destroyed. My native Midwest looks great until you figure in the yearly tornadoes. The southern Gulf states are way the heck out. Darn near the rest of the country got wiped out by winter storms this year, cutting power for a long time, including temperate Seattle. Heck, we had a hot summer this year and most of you remember the result of the LA grid saying "OI! Enough already!" Stuff happens no matter where you are.
There's a couple of pros to being in LA. The worst natural disaster that can happen here is an earthquake, and the really huge destructive ones are rare, versus, say, the Midwest when every year there's a tornado season. Secondly, the newer buildings, ones built as of the Northridge quake in 1994, are built to very strict standards to withstand an earthquake. The datacenters doubly so. I really don't think there is another place in the United States where buildings are built to strict codes according to the local known possible natural disaster.
So I really do think we're in the right place!
Oh, as to that whole thing where California is supposed to slide off in the ocean - land as big as a state of California is pretty thick. California might wander off into the Pacific sometime in the future, but, considering the realities of continental drift, that process takes thousands of years, not decades.
Hope this helps!