Yes, it can, but using VM confers some advantages in terms of 
flexibility, recoverability, and resource utilization.  

        John Cassidy's observation about matching the workload to the processor 
is on the money, though.  We can easily drive our IFL to 100% CPU utilization 
just by running some fairly mundane things -- tar, for instance -- and that's 
without anybody touching the Websphere guest or the one application we are 
going to try to put into production.  High-I/O, low-CPU applications are the 
best fit.  That said, there are some folks out there running Java, Websphere, 
etc. on zLinux and doing a good job of it, so it can be done. 
                

Jon



<snip>
Can't Linux run in a separate LPAR without the need for Z/VM installed?
</snip>

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