Author of the paper here. Thanks. As for Jails and Illumos, I would be willing to bet it's people not looking, but I haven't looked, so I can't really say. I agree it's kind of a mess, but it's getting better!
As Bryan Catrill has said in one of his talks:
"we walked the trail if tears since our customers were very large companies; if they had a problem, we had a problem!"
The illumos and smartos mailing lists are hyperactive, with bugs being fixed, and new functionality added, which even Oracle Solaris doesn't have -- just subscribe to those two mailing lists and see for yourself. I warn you in advance: be prepared to be buried under the vortex of e-mails.
Also, Illumos was forked off Solaris, and I'm sure that you know of Solaris' security.
Looking forward to your amendment and revised paper.