The SearchCIO Newsletter features an article this week called "Server consolidation is still more physical than virtual." The major point of the article is that consolidation through virtualization is growing more common, but it still isn't as popular as physical consolidation.

I don't disagree with this. After all, it has been quoted that only about 5% of the virtualization market has been tapped, but certainly more consolidation is being done than just that 5% (consolidating two or three old servers onto newer ones, simply moving servers from multiple locations to a single location, etc.).

Of course, virtualization greatly helps with the consolidation process and can help you consolidate more. A sound consolidation plan would include both physical and virtual (see our Emanuel County School District case study for a good example of this).