thanks. nice system. 
you're using an older version of MySQL (3.23.40). i'd suggest upgrading to the latest version (3.23.51 right now) for bug fixes and possible performance improvments. and if you're using Linux, make sure you're using the 2.4 kernel since it runs MySQL the best.
i noticed in your variables that log is ON. this means that all queries are being logged. you shouldn't need this for any reason and it probably increases load, so it will be off with this new config file. 
other than that, i increased max_connections to 450; table_cache from 64 to 1024; join_buffer and record_buffer from 128K to 1M; and thread_cache_size from 0 to 64 (this will make it so that a new thread isn't created for each connection. you may see more mysqld processes running, that's fine.)
replace your my.cnf file with the following and restart MySQL:
Code:
[client]
port = 3306
socket = /tmp/mysql.sock
[mysqld]
port = 3306
socket = /tmp/mysql.sock
skip-locking
set-variable = max_connections=450
set-variable = max_allowed_packet=16M
set-variable = key_buffer=16M
set-variable = myisam_sort_buffer_size=64M
set-variable = join_buffer=1M
set-variable = record_buffer=1M
set-variable = sort_buffer=2M
set-variable = table_cache=1024
set-variable = thread_cache_size=64
set-variable = wait_timeout=600
[safe_mysqld]
open-files-limit = 8192
[mysqldump]
quick
set-variable = max_allowed_packet=16M
[mysql]
no-auto-rehash
[mysqlcheck]
set-variable = key_buffer=64M
set-variable = sort_buffer=64M
set-variable = read_buffer=16M
set-variable = write_buffer=16M
[myisamchk]
set-variable = key_buffer=64M
set-variable = sort_buffer=64M
set-variable = read_buffer=16M
set-variable = write_buffer=16M
[mysqlhotcopy]
interactive-timeout
that should do pretty good for you. hope it helps.
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