Virtualization puts a lot of stress on your storage system. With only a pair of sata drives in a RAID1 configuration it's likely that you're seeing issues related to the IO bottle neck that causes. I believe you would have similar issues using iSCSI with that setup.
There are only so many IOPs you're going to get out of that setup. Even if you think all your server's IO workload is relatively simple when you have 7 simple workloads going at once the result is a complex IO workload. And that will be magnified in situations like a boot storm. I don't think you'll have a problem Virtualizing your Domino Server as long as you have the proper storage subsystem underneath it. From a protocol point of view both NFS and iSCSI have their own advantages and disadvantages in terms of performance, security, storage management/allocation, etc. -- David
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