Actually, after reading the paper, this is no threat to Stratus or other players in the space like Marathon or VMWare's FT. The performance impact is pretty significant - by their own benchmarks there was a 50% perf hit in a kernel compile test, and 75% in a web server benchmark.
This is an interesting approach and seems to handle multiple vCPU's in the VM which I haven't seen done by the software approaches like Marathon and VMware FT, but I think it will mainly be used in applications that would have never been considered for a more expensive solution anyway.