One major use I have for desktop virtualization, is for creating a high-security environment, for people who have stuff to hide. I put VMware virtual machines inside of TrueCrypt containers, thus getting around the need to use time-consuming products like CyberScrub (which securely erases files and unused disk space). I call this the "box within a box within a box" approach, as the physical computer is the outer box, which contains the safe, which contains the virtual computer. I'm curious as to whether anyone else does this, and I look forward to the conference.

http://www.truecrypt.org