Today I saw a Twitter message about an iSCSI Software Target from Microsoft. With this you can turn any Windows Server 2008 R2 in an iSCSI device. The software target is the same that is being used in the Windows Storage Server product. So you can say that it is a proven technology.
At the office we will not make much use of it i think because we have Equallogic iSCSI devices in our datacenters. But I am going to use it for my test environment at home. This makes it easier for me to try and test iSCSI related stuff.
And maybe there will be a use for this in the office.