After a barrage of comments and negative feedback surrounding the new vRAM entitlement restriction (among other things) to vSphere 5 licenses, VMware came back and changed the model.
In a nutshell...
For Enterprise and Enterprise Plus, your entitlement has doubled. All other models are capped at 32GB.
There's also a cap on consumed vRAM counted per VM at 96GB.
Additionally, they reduced the high watermark and did a calculation on a 12 month average of consumed vRAM. This eliminates any penalties incurred due to short lived vRAM usage spikes in test and development environments.
Lastly, they've commented regarding concerns on VDI deployments and stated that this model does not apply to VDI environments. vSphere Desktop Addition covers VDI and there currently is no vRAM entitlement associated with that product.
Full details from VMware below...
http://blogs.vmware.com/rethinkit/2011/08/changes-to-the-vram-licensing-model-introduced-on-july-12-2011.html
