One of the time honored strategies in the computer industry is to package your competitor out of business. Now both Microsoft and VMware are trying to do this to each other, but in more sophisticated and insidious ways than has ever been attempted before. The reason for all of the sophistication is that this is quite literally a war of extinction where the loser may end up going away. The clear winners here are enterprise customers who would really like to have some negotiating leverage with both Microsoft and VMware.
http://www.virtualizationpractice.com/blog/?p=329