VM sandbox escape is just "perform a hypercall/trap to pass specially crafted data to the hypervisor and trigger a hypervisor bug". For virtual machines, the hypervisor is the privileged host and now the host is compromised.
There is no inherent advantage to virtualization, the only thing that matters is the security and robustness of the privileged host.
The only reason there is any advantage in common use is that the Linux Kernel is a security abomination designed for default-shared/allow services that people are now trying to kludge into providing multiplexed services. But even that advantage is minor in comparison to modern, commonplace threat actors who can spend millions to tens of millions of dollars finding security vulnerabilities in core functions and services.
You need privileged manager code that a highly skilled team of 10 with 3 years to pound on it can not find any vulnerabilities in to reach the minimum bar to be secure against prevailing threat actors, let alone near-future threat actors.
