Virtualization is arguably the main innovation motor in the Internet today. Virtualization enables the decoupling of applications from the physical infrastructure, and introduces new mapping and scheduling flexibilities. While the corresponding algorithmic problems are fairly well-understood, we ask: Who reaps the benefits from the virtualization flexibilities? We introduce two simple distributed cloud market models and study this question in two dimensions: (1) a horizontal market where different cloud providers compete for the customer requests, and (2) a vertical market where a broker resells the resources of a cloud provider.