Linux fatware? These distros need to slim down

As I prepped a new virtual server template the other day, it occurred to me that we need more virtualization-specific Linux distributions or at least specific VM-only options when performing an install. A few distros take steps in this direction, such as Ubuntu and OEL jeOS (just enough OS), but they're not necessarily tuned for virtual servers.

For large installations, the distributions in use are typically highly customized on one side or the other -- either built as templates and deployed to VMs, or deployed through the use of silent installers or scripts that install only the bits and pieces required for the job. However, these are all handled as one-offs. They're generally not available or suitable for general use. In many cases, these customized templates or installs are aimed at a single application and need to be overhauled for other uses. It would be of some benefit to be able to select "This is a VM" at the outset of an install and have the installer behave appropriately.