> so in a nutshell, I will need application like VMWare to do 
> virtualization?

Yes, but I would point out that there are free versions of VMware Server
which work quite well with Vyatta. See the VMware website for details
(http://www.vmware.com/products/server/). XenSource also makes XenExpress,
which is free and support up to 4 VMs per machine
(http://www.xensource.com/products/Pages/XenExpress.aspx).

We use VMware Server here at Vyatta for some of our QA testing. We do
things like connect virtual adapters from multiple VMs together to form
virtual topologies to test routing protocols, etc. It works quite well,
though it can be memory intensive if your routing tables are large.

-- Dave

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