A question about Linux on z/VM and scalability.

Early tests of Linux on 390 (Test Plan Charlie and Omega)
demonstrated that thousands/tens of thousands of virtual Linux
servers could physically be supported by z/VM (and I note with
respect that Sine Nomine has a presence in this forum).  These days
IBM steps up to the plate in public for 'hundreds' of virtual servers
(ibm.com), and Charlie/Omega aren't referred to as frequently.

There is a big gap between hundreds and thousands.  My question ...
is zVM (with up to 16 engines) really capable of supporting thousands/
tens of thousands of servers in the real world, and IBM just being
coy?  Or is it really hundreds?  If it is in the thousands, is this
theoretical, or are there really customers using it at this level?
For the purposes of this question, let us assume a 'server' is used
by a small business of 10-20 employees with several hundreds of
customers, supporting web site services and email (in a penguin
colony with non-uniform resource demands).   Vague, but hopefully a
pointer to something useful.

I recognise that this question is dependent on a wide range of
variables.  These would include the fact that the actual workloads
encountered will matter a great deal.

Possibly there are many opinions about this, and no one correct
answer, but I am very interested in hearing perspectives from those
with first hand experience.  Apologies in advance for asking such an
open ended question, or if this question has been tackled in depth
previously.  I could find no references in the FAQ or recent postings.

If there is a more useful way of defining a standard small business
workload that you are aware of, please comment using that as a base.
Before you criticise my lack of precision on workload, I hope you can
comment on the basic question (admittedly posed from a perspective
that is less technically informed on z/VM than most participants in
this forum).

Personal disclosure: I am a former IBMer, from the business
consulting group rather than hardware/zSeries.  My interest is in the
potential commercial application of Linux on zSeries, beyond server
consolidation. If this isn't the correct forum for this question,
please forgive in advance, and point me to a better forum.

Glenn Nicholas
Holipac.

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