Microsoft is desperately trying to make a solid play in the virtualization space, and it's releasing Hyper-V for free in order to get there. The company wants case studies and living, breathing customers running Hyper-V to showcase, but what it really needs is a truly competitive product. Even with the release of Live Migration, it's not even close to Xen or VMware. Trying to dress up Hyper-V as enterprise-ready does nobody any favors right now.
For the record, I hope that Microsoft does deliver the goods with Hyper-V and does it soon. I hope that somehow it can pull a rabbit out of the hat and release a free or low-cost hypervisor with management features similar to VMware's DRS, HA, memory sharing, Consolidated Backup, complete scripting APIs, and so on. This would force VMware to lower prices and really create competition in this market, which has been wholly dominated by VMware since day one.
But make no mistake, you get what you pay for. Taking the cheap way out may not matter so much for the edges of the infrastructure, but sacrificing significant quality and features for lower cost at the core is a recipe for headaches of epic proportions.