Quoting from CRN:
Novell will include its “Beagle” search engine and virtualized server and storage features in SUSE Linux Enterprise 11, one Novell executive said.
As it officially launched SUSE Linux Enterprise 10 at Brainshare 2006 Monday, Novell vice president Holger Dyroff gave an overview of features planned for SLES 11, expected to ship in mid-2008.
For instance, SLES 11 will offer virtualization for servers and storage, enhanced security via support for AppArmor’s profile management and CIM, a compiler and run-time, and identity management and provisoning, Dyroff added…
Read the whole article at source.
For that time Microsoft could be (quite) ready to resease its Windows Hypervisor (codename Viridian) as add-on for codename Longhorn Server. So Novel should use these 2 years in the best way to offer a consistent Xen management infrastructure.