Well vserver uses them to save space. If you have 10 vservers (virtual servers) on the same filesystem, mirrored from the same original - instead of having f.ex. 10*3gb of files - you would only have 3gb of files. And since vserver1 can't know of vserver2 or anything outside of the vserver - soft links would be bad.
The other nice thing, that I'm not sure if symlinks could implement (seing past the issues of symlinks to outside a vserver not being a good idea :) - is the new vserver fileattribute "Immutable-unlink" which means you can make all files immutable+Unlink in all vservers(two flags as far as I remember Immutable and Immutable-Unlink flag) - and if one vserver tries to change a file marked Immutable-Unlink - it will simply get a new file - and the old hardlink will be removed - meaning the other 9 vservers still share the same file.
To me this is clever use of hardlinks - but I'm no filesystem guru :)
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