Friends of mine would use nothing else and prior to Ubuntu 8.04 LTS they were using Ubuntu 6.06 LTS so apart from the upgrade they saw no reason to change
Most of web hosting providers offer linux and windows hosting option, you may choose the platform that you prefer based on your needs. For example, if you are looking for a more user friendly and simple control panel, windows hosting in your way to go. Anyway, to help you choose your platform, you may be interesting on checking that article that put together the differences between Windows hosting and Linux hosting: http://www.zakshow.com/2009/06/22/the-difference-between-linux-and-windows-hosting/
If you look at the bottom you will see: Market Share for Top Servers Across the Million Busiest Sites
September 2008 – June 2009
This includes figures for Apache which is mostly Linux and Microsoft IIS (Windows), also nginx which is Linux, these are pretty good base figures to work from.
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