HP DL585 G2 Quad Dual Core 2.6Ghz 64Bit 32GB RAM Server | eBay
That x 2 = 1200.
HP DL585 G2 Quad Dual Core 2.4Ghz 64Bit 64GB RAM Server VMware 300GB SAS/SATA | eBay
Add extra disks if you want run them as standalone hyper v servers, or buy a san so share out. Always good to have more than 2 hosts though, if one goes down and your using something like dpm to backup you just restore to another host
Not allowed to use ebay, and don't particularly want to run critical services on second hand hardware...
667mhz RAM and 120W dual core CPUs? Seriously?
Yep Deffo buy new upgrading is a waste as you don't get anywhere near the discounted CPU prices you wouldm get when you buy new. Buying new here and getting rid of 3 x oooold non quad core servers. Should save a good few bucks in electrickery!
How many VMs do you plan on running and what kind of load? I always seem to saturate the disk before anything else.