This may not be of any assistance, but just in case. I have move pretty much all sql server's to virtual pc with no problem and think its a much better solution than having a separate dedicated machine a lot of cases. I'm assuming vmware is the same case, hope that possibly helps a little bit.

Hi dickersonka,
Thanks for the info. If you don't mind me asking, how many connections does your VMs get on average and how big are your databases? I'd like to know, because our connections will increase soon with an online app being introduced. Just wanted to see how virtual servers are handling large connections.

At peak times our currently active users would be around 500 or so and have ran into no limitations yet with the vms.