This is in contrast to the Virtuozzo product you mention, which is a user-land virtualization product. The user environment appears to be distinct, but it's really a more glorified chroot-like environment. I know there are plenty of these hosts out in the market, but they're not the big players here on HN, or in the startup space.

Using the term "cloud" doesn't tell us anything about your service. HN is a highly technical crowd. In order to sell to this group, you'll need to "show your underwear", so to speak. What virtualization technology are you using? Maybe it would be better to have some of your technical staff field these questions. They might get a better response if they can talk the talk.

Yes. I find it very odd that you seemingly don't understand your competition at all.