A better article would have quantified all the measurable metrics like "virtual machines are 'fast'" and talked about some of the negatives - like privacy/security concerns etc.
What I want to know is - why are they so much more expensive than linode(for example). These guys are offering a 512Mb VPS @80$/m compared to 19.95@linode. They also charge 100$ for setup - (doing everything manually?)
(Disclaimer - I am a happy linode customer)