I'm not a fan of virtual desktops (on a desktop system) either. For some of the same reasons stated here.

But, on Android, the desktop isn't where the applications run. Perhaps because all applications are "full screen". The desktop is just where the application launcher lives. So, organizing similar launchers together ("work", "general phone", "personal/recreational") works. I never have an application running in the wrong desktop, because that's not how applications run.

That type of home/desktop screen would work for me.

But a "desktop computer" type virtual desktop would NOT.

And I'm not sure yet about the panning/continuous virtual desktop (as opposed to a discrete virtual desktop) planned for Maemo 6. I don't generally like systems I've used like that, either. Though, it might make it easier to display the desktop out to larger monitors and such.