My new notebook has install the CentOS 5.1 as the host OS, and Windows XP as the guest OS under VMware server 2.0 beta. I found that using the external devices, such as ISO for CDROM, USB devices is quite annoying task under such infrastruction, because all these have to control over the VM management interface, and I have to switch between the host and guest frequently. Even worst, the VM management interface under linux can support FF 1.5 only (don't know about 2.0, but certinly not under 3.0).
The good news is, The VMware server 2.0 has a brand new web interface, and that can be access under your guest OS! And even better than this is, the web interface can work perfactly under FF 3.0 for Windows.
That makes life much easier. Now, I can turn on my guest machine by host startup, and make a shortcut to my guest to show-up my guest OS desktop in full screen without asking the user name and password of the client console (by modify the default args, adding -X -u root -p xxx, this is not good enough, cause the password has to present as text in the arg). Everything works just like you have two machine on your fingertip:)