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A couple of recent surveys support the premise of this article. Virtualization management vendor Veeam sponsors an interesting quarterly report on virtualization management called the V-index (http://www.v-index.com/). The V-index Q3 2011 report found that among more than 500 enterprise IT groups, application performance is the second most-cited main concern preventing increasing virtualization. Symantec's 2011 Virtualization and Evolution of the Cloud Survey found that less than half of CEOs and CFOs are willing to migrate business-critical apps to the cloud because of performance worries. You can read the Symantec survey here: http://www.symantec.com/en/pr/theme.jsp?themeid=cloudsurvey
As you've mentioned in your article, measuring true end-to-end response time and tying SLAs to that is key to migrating business-critical applications to the cloud. Unfortunately, most application performance monitoring tools only measure discrete resource utilization such as CPU and memory, which by themselves do not accurately reflect response time as experienced by the end user. Any application performance management tool that claims to work in virtualized environments and only monitors system resources will not provide the visibility needed to assuage the concerns of application owners and business stakeholders.
The company that I work for, ExtraHop Networks, takes a network-based view of application performance that works seamlessly with physical, virtual, and hybrid environments to provide IT teams with end-to-end application response times for every transaction. These real-time measurements can form the basis for performance SLAs that can help convince app owners and business execs that migrating to the cloud will not necessarily threaten performance.
2 years ago on How Performance Issues Impact Cloud Adoption