Thank you a lot for reporting this issue.
I haven't hit it in my environment, but then I only had about 80 guests so far.

Might I ask on the sizes (memory, cpu, #disks) of the guests and the
sizing of the host you use?

For the ksoftirq the first look to take likely is to check for what softirq 
(and irq) is currently starting to rise.
I'd recommend to start something like
http://www-05.ibm.com/de/events/linux-on-system-z/downloads/Tools-MK2-V7-Web.pdf
 page 79ff.
  mpstat -I ALL 5
And then raise your load.
Gather timestamps when the case was ok, and when it started to become broken.
A sysstat along that data with the same timestamps can be useful as well.
Please attach that data so we can take a look.


In general for KVM exit issues a good thing to do is to get stats on KVM exits.
Look at this for a basic info about it https://lwn.net/Articles/513317/
e.g. ./perf kvm stat report --event=vmexit
Although in your case for a system your size gathering that can have a serious 
impact.
The stat mentioned above is the lowest overhead of all perf kvm actions, but be 
careful if you do on a production system.

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https://bugs.launchpad.net/bugs/1646639

Title:
  KVM CPU slowdown on 4.4 kernel

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