In the last weeks i switched some servers from Xen to KVM. Why?
My big points to switch were:
The bugtracker isn't maintained, a bug i reported about 2 years ago is marked as new! It is fixed, but it doesn't look like the xen-developers have a good contact to the community.
The (Hypervisor-)Xen-support seems to go never into the mainline kernel. KVM is from the early beginning there, this makes different problems: if you want to use xen, you have to use a very old kernel (2.6.18).
KVM is supported by one of the biggest linux distributions: ubuntu.
KVM supports nested virtualization: it allows to run a hypervisor in a guest domain!
Xen seems to be unstable, i had many crashes or kernel panics while installing. I tryed many differnt kernels and configs to get a domU paravirtualized running. When it runs, i had problems too with lvm for example. KVM+Virtio works like a charm and i can use the vanilla-kernel without any problems :)