"The most they get is port conflicting"
Like I said, that is not all they are going to get. Do more research.
"i guess Linux are easy to hack from user point of view"
Absolute nonsense. The point to good security is to not give rights to people who don't need them, and installing poastgres or mysql is a right they don't need.
"And I don't see 200 virtual servers will go wrong in a single machine?"
oh, it will run I guess, it's just not smart (ie: very very stupid) to do, because if your machine goes down (and it will because it's windows) all 200 sites are down. And if one site gets very busy, all 199 other sites slow down.
"Why waste resource on setting up separate machines."
Lol. you never did any serious system administration did you? :-)
"Don;t tell me with 200 virtual servers you are going to setup seperate webservers, database servers, mail servers?"
ofcourse not, two mailservers is more than enough. But I'd definately split those 200 webservers out to max 10 per server.
You call it a waste or resources, I call it 'system administration'