I have the same issue as the OP. I've been searching for longer 1/8" bits myself. I have been using an 1/8" bit with a cut length of 1/2" with success but would really like something a little bit longer. I run it around 16000 at 2-3 IPS in cedar with good success. I use a spiral ramp. Takes awhile but the outcome is good. I might look at some 3/16" bits, but a lot of my templates are right on the edge when using an 1/8" bit. Yeah, I'm stingy, I hate to waste just another fraction of an inch of wood. :/