While your positive outlook gladdens my heart, my mind keeps reminding me, that Linux is an absolutistic disk operating system, which doesn't understand anything except CPUs, DRAM and block storage. Networks have been grafted on to a certain degree, but things like dynamic allocation and de-allocation of resources, heterogeneous computing devices or accelerators, dynamic reconfiguration of PCIe or CXL busses or meshes or just plain cooperation with other kernel instances with proper delegation of authority etc. just never were part of Unix, not even Plan-9.
So while the hardware is going there in leaps and bounds, I have very little hope Linux (neither as OS nor as hypervisor), Xen or any other hypervisor is anywhere ready to deal with all that.
Perhaps some cloud vendors will be able extend their proprietary hypervisors to take advantage of these things, but that doesn't bring that technology any closer to me.