ChelleChelle writes: Over the last ten years virtualization has been the source of much hype. Many have come to perceive virtualization as a panacea for a host of IT problems, ranging from resource underutilization to data-center optimization. Yet the question remains— can virtualization deliver on its promises? According to the vice president of Morgan Stanley, Evangelos Kotsovinos, yes it can, just not right out of the box. For virtualization to deliver on its promise, both vendors and enterprises need to adapt in a number of ways. This article cuts through the hype surrounding virtualization and focuses on the hidden costs and complex and difficult system administration challenges that are often overlooked.