We present the first near-exact analysis of an M/PH/k queue with m > 2 preemptive-resume priority classes. Our analysis introduces a new technique, which we refer to as Recursive Dimensionality Reduction (RDR). The key idea in RDR is that the m-dimensionally infinite Markov chain, representing the m class state space, is recursively reduced to a 1-dimensionally infinite Markov chain, that is easily and quickly solved. RDR involves no truncation and results in only small inaccuracy when compared with simulation, for a wide range of loads and variability in the job size distribution.Our analytic results are then used to derive insights on how multi-server systems with prioritization compare with their single server counterparts with respect to response time. Multi-server systems are also compared with single server systems with respect to the effect of different prioritization schemes -"smart" prioritization (giving priority to the smaller jobs) versus "stupid" prioritization (giving priority to the larger jobs). We also study the effect of approximating m class performance by collapsing the m classes into just two classes.Keywords: M/GI/k, M/PH/k, multi-server queue, priority queue, matrix analytic methods, busy periods, multi-class queue, preemptive priority.