Sorry, I thought I'd made it clear, yes the bug does still occur at 2GB allocated.
Had it at two, turned it down as a "Eh, there's no reason why this should work but let's try it" measure.
Just standard minecraft lag, everything moves for about a quarter of a second, then freezes for two seconds.
After a little hair tearing I closed all other applications on my PC and tried again, this partly fixed the problem in that the lag subsided to a somewhat playable level and I was only DCed every ten minutes or so. From this I guess that the issue is a lack of bandwidth, but I can play on Hypixel etc fine so that still doesn't explain why it's confined to one server
Okay, managed to crash it during lag, report attached.
Yeeaah, problem with that is that generally my entire PC is unusable by then. I'll try to force a crash while it's locking up.
Ok, this issue seems to have fixed itself in the full 1.8 release, I am now able the run a server on a normal world with 5 players online 🙂
This is a really odd bug....
Please can someone reply to this! It is making the game un-playable! None of my friends can host a server in 1.8!
Ok, players are no longer getting disconnected. They are getting about 30 seconds of delay. This doesn't happen in 1.7 or below, but as soon as I try to update to the snapshots, this happens!
EDIT: My CPU usage sometimes sits at 97% while running the server, so does my friends. I have an intel i5 processor, so its not my system.
In case this is relevant, I often have issues connecting to the same person on Warframe - it gives a "Strict NAT" error.