What a Technology
I think virtualization is great, and I'm amazed when I see it work.
Interestingly, there is one thing I found that MS can do that VMware can't -- take screenshots of DOS programs. If you have a DOS program that runs in graphics mode (ie, non-windows, not-text mode), you may from time to time need to take a screenshot. Vmware totally botches it, while MS gets it exactly right.
Of course, other than that very obscure difference, VMware seems to blow MS out of the water.
In three years time, most CPU's will have either amd-v or intel-vt built in, and will be much better at virtualization. I think this will work out better for Linux, as it will be easier and easier to run Windows instances on Linux. It will also level the playing field between VMWare, MS, Xen, qemu, etc. That works against Vmware.