This is the exact setup I run in my production workstation at work 24/7.
It runs FASTER than windows 7 with all your other crap on it. It's snappy and instant. Since linux has block level caching, combine that with vast amounts of cheap ram + Windows 7 File level caching. Stuff flies.
The host is Linux Mint 11
Running the nvidia non-free driver (that automatically pops in the tray, not the web site)
Hardware Specs:
Core i7 960
10GB RAM
2 Hard drives (One for linux mint, the other holds the VHD's)
2 24' 1920x1080 Asus monitors
And some recent generation nvidia card (probably a 260, can't remember)
2 Guests running at all times:
VS2005 - 2GB Ram, 2 Processors, 96MB Video Ram, 2 Virtual Monitors (bad ass for seamless mode dual monitor setups)
VS2010 - 5GB Ram, 4 Processors, 96MB Video Ram, 2 Virtual Monitors (bad ass for seamless mode dual monitor setups)
To answer your question, YES VS2010 needs that much to run perfectly. I also don't install any other crap on those machines, not even antivirus. Just one task per machine to keep them fast and stable. I also do regular backups with windows backup of all my projects to a shared folder on the network (some cheap network storage device)
My host is left with 1.4 GB free. Enough to run some web browsers and apps simultaneously on the host. 0 swap file being used.
The amazing thing is, I really could have just got a 32GB usb stick, installed linux mint on it, and strictly used the hard drive to store data. Didn't even need the primary disk, in some cases the usb stick with outperform the mechanical drive because of caching and no seek time. Cloning the usb stick would have been a handy backup in case I want to get crazy on my machine
This may sound like a beast of a setup, but it's only about $700-800 with the 2 giant monitors, and totally worth your boss's money.
Ah, forgot to mention. There are some versions of virtualbox that DO NOT work right, as you mentioned with VS2010.
I know 4.0.12 works perfectly. I'm testing 4.1.4 right now, so far no probs but it's only been an hour.