The World after Processor and Bandwidth Abundance

I've read George Gilder's essays on how every cycle of technology innovation and disruption has been unleashed when a company figures out how to use a cheap resource to produce a product that is expensive to create using traditional methods. This applies very well to Virtualization - there is an abundance of Cheap CPU processing power (powered by multi core processor based servers, networked into commercially available computer grids like Amazon EC2) and Nearly infinite storage space that costs nothing. VMWare figured out very early on how to to use cheap and abundant CPU cycles to produce better utilization, reliability and performance which are horrendously expensive to improve using conventional software based methods.

Now with LAN like connectivity available in last mile home and office connections (think FIOS), it's quite possible that we will finally figure out how to virtualize the windows desktop and stick it in a data center. When VDI fulfills its potential, cheap CPUs, cheap storage and cheap bandwidth will come together to offer desktop security, management, upgrades and mobility with seamless ease. All of these outcomes are today expensive and clunky when implemented through traditional software techniques.

VMware VDI itself is a generation behind, the term VDI itself has started to encompass a more holistic, across enterprise vision of putting all desktop images and applications in the data center, but with the ability to support mobile and power users with customization and niche application consumption needs.