Technology Fundamentals

Virtualization

Definition

Virtualization is the act of creating a virtual (rather than actual) version of something, including virtual computer hardware platforms, storage devices, and computer network resources.

Why It Matters

Virtualization allows a single physical machine to run multiple "virtual machines" (VMs), each with its own operating system and applications. This leads to much more efficient use of hardware resources, lower costs, and increased flexibility.

Contextual Example

A web hosting company uses a single powerful physical server to run dozens of virtual machines, each hosting a different customer's website. This is more cost-effective than providing a separate physical server for each customer.

Common Misunderstandings

  • Virtualization is the underlying technology that enables cloud computing.
  • Containerization is a lighter-weight form of virtualization that virtualizes the operating system instead of the hardware.

Related Terms

Last Updated: December 17, 2025