Definitely interested in an answer here, too. If the rolling release ain't bad enough, the focus on bleeding-edge would ordinarily make Arch the absolute least desirable production server OS imaginable. I certainly don't have that kind of courage :)
That makes sense, yes. However, since we're talking about a dev-machine here, that doesn't necessarily apply.
Of course, this is much a matter of taste, but "stable" environments can work to the detriment of a developer's productivity (especially since many developer tools improve quite fast these days). It might be a mistake to discard a tool/distro just because it didn't do what you expected for an unrelated use case.
Edit: Also note that "server" != "production code". I run a couple of servers (OpenVPN, Backups, mopidy) using Arch (on Raspberry Pis) at home, that doesn't mean I'd use it for a public facing web server.