Let me append a bit on this thread, cause I ve been experiencing similar problems. And I do believe that W3 Total Cache really is the best option out there. It currently just has some issues with WP 3.0 ( I am running 3.0.4 ).
A ran into white screens in combination with the plugins below:
- SI Captcha Anti Spam
- Fast Secure Contact Form
- Custom Contact Form
- Google Anlytics for WordPress
After deciding to delete these plugins rather then W3 Total Cache I finally ended up with a sitewide 500 error when tweaking the performance settings. This error pertained even after deleting the total cache files and only a revert to a site backup solved the problem. ( unfortunately I don't have a clue what setting triggered this )
To sum it up:
- Deleting the files works in most occasions
- The perfomance settings can cause problems outside the w3tc files
- There still is a W3TC folder on my server which I am unable to delete
Hope this helps in any manner.