I suppose MIT has a leased line/ some sort of net connectivity with a
decent bandwidth (at least 2Mbps)?? On that assumption, you can buy a
block of IP addresses for MIT (if it dosent already have it....) from
your ISP (VSNL, Satyam, whatever), and run
your own Web/DNS & Mail servers on your premises. That would be the
easiest option (Scalable, at no extra cost).
The choice for the Web/DNS/Mail Servers? Linux Of course!! Makes life a
lot easier for management of the web services