After discussing this with Colin Watson in #ubuntu-devel I've found a
work around that is more agreeable.

Create '/usr/share/grub-gfxpayload-lists/blicklist/11_virtualbox' with
the following content:

    v80eedbeef.*

Run the following to update the blacklist and grub.

    sudo update-grub-gfxpayload
    sudo update-grub

The boot process will now be text only for Virtualbox guests and the
default X resolution is 1024x768.

The other benefit of this approach is that if full disk encryption is
used, you are now always able to enter your pass phrase. So this
technique is also a fix for
https://bugs.launchpad.net/ubuntu/+source/plymouth/+bug/1386005

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https://bugs.launchpad.net/bugs/1368784

Title:
  Vivid and Utopic Virtualbox guest gets only up to resolution of
  640x480

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