The article (yup, I've speed read TFA) defines Xen as a para-virtualization systems... Completely ignoring that since now years Xen also allows to do hardware-virtualization. Another posted also noted already that Xen's power lies in its ability to run different OSes.
Btw I happen to run my Samba / NFS / CVS / SVN server on a Xen para-virtualized domU. For hardware-virtualization I tried Xen too and the open, free, version lacks good I/O drivers for Windows (slow network and slow disk).
We very well know that Xen supports hardware-virtualization as well. As you pointed out, the performance is abysmal because Xen still uses IO emulation while using hardware virtualization.
People want to Google on exactly "Which virtualization is right for you" and read infos from a knowledgable sysadmin (managing thousands of servers and virtual servers on a lot of various platforms and, no, it's not me) instead of an article performing micro-benchmarking of hypercalls to compare apples to oranges.
These are NOT micro-benchmarks. Infact, I would call them macro benchmarks. A few server consolidation scenarios are setup and the performance of Xen and OpenVZ is compared. Then, we dug deeper to find out the reasons for the problems using Oprofile. It's not comparing orranges to apples, because both technologies are touted for server consolidation.
There's no single virtualization technology that works for every one, as many have explained in earlier comments.
Pradeep