Say what? Going back to only KVM in modern DCs is some crazy talk. If your org is small enough that KVM is even remotely an option, then I'd recommend running a cost/benefit analysis on whether hosting a small server farm on prem is even worthwhile.
But when you're managing hundreds of servers with dozens of various purposes, FOSS solutions aren't always tenable. And not using a mature, feature complete virtualization platform is just straight up masochistic, not to mention potentially dangerous from a security standpoint.
I agree that talent > solutions, but if you want to retain that talent, you have to make their lives not miserable at work, which means sometimes having to purchase solutions to make their lives easier.