dmesg on the dom0 shows: __ratelimit: 1431411 callbacks suppressed xen_net: Memory squeeze in netback driver. xen_net: Memory squeeze in netback driver. xen_net: Memory squeeze in netback driver.Google suggests that raising (or hardwiring) dom0_mem may help, but other guests don't appear to need this and it's already set to 752M.
Details on switching to PV from HVM can be found at: http://www.precedence.co.uk/wiki/Support-KB-NetBSD/XenServer XenServer is free from: http://www.citrix.com/English/ps2/products/feature.asp?contentID=2300356 -- Stephen