Recently, Anthony Liguori, one of the qemu maintainers has included kvm support into stock Qemu. This is tremendously important.
Why? you might ask. It has to do with how software forks are managed.
When a software project is forked, there are two ways to go about it. One can add new features, restructuring code along the way so that the new code fits in snugly. This allows you to easily make large changes, but has the side effect of diverging from the original code. Over time, it is no longer possible (or at least very difficult) to incorporate fixes and new features that evolved in the original code, since the two code bases are wildly different.
An alternative strategy is to add the new features in a way that makes as little impact as possible on the original code. This allows updating from the origin to pick up fixes and new features relatively frequently. The downside is that we become severely limited in the kind of changes we can make to our copy of Qemu without diverging too much.
We have mostly followed the second strategy. Adaptations to qemu were as small as possible, and we have "encouraged" non-kvm-specific changes to be contributed directly to qemu upstream. This kept the amount and scope of local modifications at a minimum.
But now that kvm has been merged, it is possible to make larger modifications to qemu in order to make it fit virtualization roles better. Live migration and virtio have already been merged. Device and cpu hotplug are on the queue. Deeper changes, like modifying how qemu manages memory and performs DMA, are pending. And, of course, kvm integration is much cleaner and more maintainable.
There is of course some friction involved. The new implementation has a few bugs and several missing features (for example, support for true SMP and Windows patching), so it will be rough for a while. However, once the transition is complete, kvm and qemu will be able to evolve at a faster pace, to the benefit of both.