Allegedly, if you use the KMS host software that comes with Windows Server 2008 R2, it will count virtual machines. I read this in the following Microsoft article:
http://technet.microsoft.com/en-us/library/dd979804.aspx
My KMS host isn’t counting virtual machines. I have KMS host running on Windows Server 2008 R2 Core Edition. It counts 2 machines, when I have 1 physical 2008 machine and 5 virtual. Any ideas greatly appreciated!