There's a fundamental structural difference between VMware and Hyper-V. Tim Antonowicz, Senior SE and virtualization guru at Mosaic explains the difference, but is he right?
Update : Read Matt McSpirit's comment.
Interested in putting your ad on this website which has 3000 unique visitors a day?
Where does this chap get his info from? Hyper-V/ XenServer aren't hosted hypervisors! You can read here: http://msdn.microsoft.com/en-us/library/cc768520.aspx for Hyper-V and here: http://www.intel.com/technology/itj/2006/v10i3/3-xen/4-extending-with-intel-vt.htm for Xen/XenServer and see that both hypervisors are running as the lowest part of the systems i.e. on the hardware. Architecturally, the way they work is different from ESX, but to classify one as hosted and one as bare-metal is a little inaccurate. This is also quite a good introductory article to Hyper-V and it's architecture: http://technet.microsoft.com/en-us/magazine/2008.10.hyperv.aspx?pr=blog
Hope that helps,
Matt
So it's kind of half-and-half, some is on the bare metal while the disk I/O gets bumped to the root partition which is touching the bare metal in those regards. Unfortunately that doesn't look as pretty in a marketing diagram so they fudge (e.g. lie) a little.