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Now, if Amazon would have an option to run BSD on EC2, I would be a very happy boy.

If FreeBSD would support Xen I'm sure they would be happy to oblige.

FreeBSD has domU support. You can have all the FreeBSD guests you want. http://www.freebsd.org/doc/en_US.ISO8859-1/books/handbook/vi...

Why Xen? I've been using VMware for years and I am curious about these newer tools: Xen and VirtualBox.

EC2 is built on Xen.