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The problem there if I am not mistaken is the CPU Virtualization extensions that can't handle multiple hypervisors using them at the same time.

That's true but it sure is convenient for Microsoft, and they are exploiting it as far as they can with the Credential Guard feature.

Sure is convenient for Red Hat, that you can't run KVM and Xen at the same time

Sure is convenient for VMware that you can't run Virtualbox and VMware Workstation at the same time

Absolutely a business decision by Microsoft, and not a limitation of the x86 chip

Also other virtualization hosts on the desktop don't have this problem at all. You can run all of the others at the same time.