I am designing our vSphere farm - we'll be migrating from ESX 3.5 to 4.1. I plan to set up a new farm using ESXi 4.1, and move the Virtual Machines on the 3.5 farm into it by shutdown, then import.

In ESX 3.5 there is no distributed networking, so each host has a vSwitch connected to my SAN NICs, and a port group for the vmkernel.

In vSphere (ESXi 4.1) I have the extra option to set up a distributed vSwitch and distributed port groups for vmkernel to access iSCSI storage.

Is there any benefit to this, or should I stick to non-distributed networking for iSCSI.