This is an awesome PoC for expanding on to ARM CPUs but i don't see the Pi being an efficient virtualization platform. Once you introduce the CPU/memory overhead of 2-3 vms will quickly degrade any meaningful CPU performance.
The LF Edge project is specifically targeted at something about the size of an RPI, and wants to use virtualization for that case:
> Over the past several years, you've seen us demonstrate our virtualization technology on the Arm platform across several use cases, everything from running mission critical workloads on a windmill, to running on the SmartNIC, to running on AWS Graviton in the cloud.
This is a perfect entry to the arm server market.