New many cores (6-8-12 per CPU) servers will be here in a month or so: these new server will not sport only more cores but also more RAM and IO capabilities as the continuing trend seen in the last years.
These new machines are perfect for deep virtualization tasks and many customers start to consider shrinking their old infrastructure consolidating several 2 cores server in few 12 cores ones rethinking connectivity from scratch with new converged ethernet.
The overall TCO savings will be dramatic but… yes, because there is always a drawback! VMware is not very happy about this, they don’t like the formula:
Less servers == Less CPUs == Less licenses (and support contracts).
VMware will force you to update or buy new Enterprise plus licenses because the old enterprise licenses work only with a maximum of 6 cores CPUs.
Indeed, it’s not a huge price difference (about 1000$ per CPU + support, :-( ) and the overall TCO will not be hurt very much but there is another point: Ask for more money to customer for nothing isn’t very cool!
Well, VMware advocates tell you that Enterprise plus does more but Companies aren’t asking for more at the moment, they want only to save money.
Customers are not very fond about per core licensing models (ask them what they think about Oracle licenses) and, in the long term, it will create some disaffection from customers that will look with more interest to alternatives like Hyper-V.
The last point: CPU roadmaps are showing 16 cores CPUs in 9/12 months…. what will VMWare ask for then???