Mac Mini server hangs during periods of heavy outbound traffic

I first noticed this last night, when trying to set up Time Machine backups.
The backups will run for around 30 minutes on average, and then the Mini will go into a state where the mouse still works and most commands work, but no network-related things will work: the machine won't respond to pings; Networks preferences will hang when you try to open it; Server Manager will hang when you open it, and so forth.
This occurs regardless of whether I am using gigabit ethernet or wireless ethernet.
I swore it was Time Machine's fault, so last night I made sure it was turned off, and the machine was completely stable again in the morning so I thought things were okay.
But just now, I was watching a video over the network from a shared directory on the Mini, and it acted up in exactly the same way as before, and this happened twice in a row when watching two separate videos.
Interestingly, it seems to be okay to copy large amounts of data to the Mini, as over the past week I have copied around 1.5TB of data to the Drobo attached to it with no problems at all. It just seems like copying any amount of data away from the system dooms it to have a crash.
But there was a 10.6.2 update at some point during all of this, and I'm not confident that it wasn't the update which caused the problem.
Is anyone familiar with these symptoms? What can be done?

It's running Server (I cross-posted to the server forum after being advised to.) There is a gigabit switch on the way to a Billionton 7504VGO router/modem. The problem itself is separate from Internet connectivity though, as the computer becomes inaccessible from the local network when it occurs.
I think I am narrowing in on the problem though, as it seems to reproducibly occur on some files and not others. On the Time Machine side of things, if I exclude my home directory then it seems to work even for the initial backup which takes ages. On the sharing side of things, there are video files which crash it reliably and then others which don't. Interestingly it seems to be the newer files which work more reliably, which makes me think it's something about the files which were transferred to the Mac when the data was first brought over from the previous machine I was using.

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    Second, if you boot the system using Command+R to access the recovery partition, you can wipe the two drives and create a RAID set, but this process will remove the recovery partition and is incompatible with FileVault encryption (a warning to this effect comes up when you try to start an install/reinstalll on a RAID set, but at that point, you've likely already erased the recovery partition in Disk Utility).  If the system boots after the recovery partition is deleted, the only install/reinstall option is Apple's Internet Recovery.
    Third, as might be expected depending upon your internet bandwidth, the Internet Recovery system can take a while to boot the recovery tools (10-15 minutes to boot on a standard cable modem connection) and to reinstall the OS (50+ minutes on a standard cable modem connection).  Internet Recovery currently reinstalls only Mac OS X Lion and the Server tools on the mini Server; there's no option to install iLife during the OS install (Apple could always change this by updating their servers, and there is a Customize button on the installer, but it is greyed out and cannot be clicked at the present).
    Fourth, once the OS is reinstalled, it's possible to reinstall the iLife applications by launching the App Store from within Mac OS and selecting Purchased.  The store will indicate that the system is eligible to download the iLife apps and you can do so by agreeing to upload system-identifying information to Apple and signing in with your Apple ID.
    I hope all this helps.  Here's a more concise step-by-step of how to set up the system with RAID:
    THINGS YOU NEED
    A fast Internet connection for the mini
    Patience
    Hold Command+R on the keyboard at start up to boot from the system's recovery partition (if the recovery partition has been deleted, the system should start from Apple's Internet Recovery system; you may need to connect to WiFi if wired ethernet isn't available)
    Once you get into the recovery utility, select Disk Utility and for each of the two hard drives:
    highlight the drive
    select the Partition tab
    select 1 Partition from the Partition Layout pulldown menu
    select Free Space from the Format pulldown menu
    click Apply
    After you've wiped both of the drives, highlight one of the disks and click the RAID tab, then create a RAID set (striped or mirrored, as you prefer)
    Quit Disk Utility and from the main recovery utility menu select Reinstall Lion (from this point on, if you have any trouble, you can restart the mini from the Internet Recovery system and return to this point, but the recovery partition will be gone as long as you keep the RAID set)
    After you install and configure Mac OS X Lion Server (which can take well over an hour to download and install), you should be able to reinstall the iLife applications by launching the App Store App and selecting Purchased, then logging in with your Apple ID and agreeing to send your system info to Apple to download the iLife Applications
    If you're using the mini as a production server, I highly suggest setting up some local, external recovery tool, as you don't want to have system downtime protracted by having to wait for an Internet Recovery boot/reinstall.  I would also beg Apple to consider this sort of scenario and to provide more supported methods for recovering and reinstalling from local media.
    Best of luck to you all.

    I found the basic principle on another forum thanks to a guy called 'e-whizz' and this what I did to make RAID 1 work on a mac mini server with LION server.
    You can easily configure the second drive on a mac mini server for a Mirrored RAID 1 set with Lion Server without either reinstalling or erasing your existing setup.
    The initial setup process takes about 30 minutes, though the rebuilding of the mirror disk will take several hours, depending on the amount of data you have on the drive. It took around 3 hours on a new mac mini server with lion server installed, nothing else configured.
    Before you start, please ensure you have a current backup of the server. Getting the following commands wrong can render you server unusable.
    What you need to use is the command line version of Disk Utility, diskutil.
    Before you start, clone the hard drive. You can use SuperDuper (or similar, I have used SuperDuper) with copying all files onto a USB memory stick. If Lion is freshly installed, 8Gb will do. SuperDuper will create a bootable copy on the USB.
    Boot the mac mini from the external USB. To do that, reboot and hold down the option key while restarting. You will see a window, select the USB drive to boot from.
    Launch the terminal and type the following command:
    diskutil list
    This gives you a list of all the drives and partitions your system knows about.
    You need to find the Server HD partition (the first disk) and the HD2 partitions (the second disk). These are the two main ~500GB drives. You will be using the disk IDENTIFIERs when issuing the diskutil commands. For a stock standard Mac Mini Server, the commands below are correct, but if you have previously changed the volume names, or repartitioned at any stage the disk identifiers and volume names may differ.
    First enable RAID mirroring on existing Server HD volume. This will create a single disk, unpaired mirror, without affecting your data.
    Using this syntax:
    diskutil appleRAID enable mirror disktomirror
    where disktomirror is your disk identifier for Server HD
    On my mac mini server, Server HD was disk0s2, so I used this command:
    diskutil appleRAID enable mirror disk0s2
    You now need to run diskutil list again to see the disk identifier for the new RAID volume. The new RAID volume will be listed as disk# on its own at the bottom of the list.
    On my mac mini server this was disk3 (disk 2 was the USB I booted from, disk 0 the first disk and disk 1 the second disk)
    Next add the disk HD2 to the Server HD raid mirror volume (on my mac, as I said before, this is disk3) as a new member.
    This step will erase disk HD2 and begin an auto repair of the Server HD.
    Using this syntax:
    diskutil appleRAID add member newdisk raidvolume
    replacing newdisk and raidvolume with your particular disk identifiers
    On my server this was:
    diskutil appleRAID add member disk1s2 disk3
    To follow the progress of rebuilding the mirror set, type
    diskutil list
    It will show you the progress in % of the rebuilding under status
    Once finished, reboot and your RAID 1 is up and running and you have also a working backup on your USB (coz' that's where you booted from ;-)
    After reboot you can check the status of your RAID with
    diskutil appleRAID list
    Both drives should show ONLINE under status, interestingly, the device node for the RAID changed on my mac mini server from disk3 to disk2
    That's it

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