Virtualizing the tier one applications (oracle, ERP, Exchange, SharePoint, SQL and others) may be a difficult conversation in order to look at a full virtualization of the servers and needs good business discussions. The stop to jump into virtualization may be because it is working and risks don’t want to be creating complexities.
In some cases the fear is also leveraging the changes to cloud computing and the reduced costs on hardware that want to be achieved.
The software developers themselves are virtualizing the applications they deliver but the information is missing to go to organizations to develop a good strategy for tier 1 applications to be virtualized
A good way to taste the waters will be to try to build a virtual environment as disaster recovery in the cloud.
The question VMware or others will try to respond, in my opinion service providers that do this well will have tremendous opportunities
Oracle will fight to protect through licensing terms and conditions their own virtualization but it can resist only so much as the industry is moving to virtualization either on existing data cents or Cloud.
VMware is developing a good marketing approach for the journey instead of the destination, telling the market they can enable the transition and manage it. For multiple OSs and sitting on premise or Cloud.
Products like VCloud will enable this and competes with Microsoft combination of Azure and windows server
Will be significant the virtual Datacentre management? Yes for the next few years, later it will be the proven performance of the applications delivery only.
Not wanting to look a lot into the future I just want to mention that 3 questions need to be resolved for good infrastructure planning
Shall I virtualize tier 1 applications?
How will I manage hybrid environments?
Will my end user satisfaction maintained or increased?
Time will tell