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Virtualization, in computing, actually refers the act of creating a virtual (rather than actual) version of something, including but not limited to a virtual computer hardware platform, operating system (OS), storage device, or computer network resources. Virtualization addresses IT’s most pressing challenge: the infrastructure sprawl that compels IT departments to channel 70 percent of their budget into maintenance, leaving scant resources for business-building innovation.

The difficulty stems from the architecture of today’s X86 computers: they’re designed to run just one operating system and application at a time. As a result, even small data centers have to deploy many servers, each operating at just five percent to 15 percent of capacity—highly inefficient by any standard. Virtualization software solves the problem by enabling several operating systems and applications to run on one physical server or “host.” Each self-contained “virtual machine” is isolated from the others, and uses as much of the host’s computing resources as it requires.


Cloud computing

Cloud computing is an expression used to describe a variety of computing concepts that involve a large number of computers connected through a real-time communication network such as the Internet. In science, cloud computing is a synonym for distributed computing over a network, and means the ability to run a program or application on many connected computers at the same time. The phrase also more commonly refers to network-based services, which appear to be provided by real server hardware, and are in fact served up by virtual hardware, simulated by software running on one or more real machines. Such virtual servers do not physically exist and can therefore be moved around and scaled up (or down) on the fly without affecting the end user - arguably, rather like a cloud.

These actually virtualizes your system for efficiency, higher availability and lower Costs. Virtualization is the single most effective way to reduce IT expenses while boosting efficiency and agility—not just for large enterprises, but for small and midsize businesses too.
VMware virtualization lets you:-

  • Run multiple operating systems and applications on a single computer.
  • Consolidate hardware to get vastly higher productivity from fewer servers.
  • Save 50 percent or more on overall IT costs.
  • Speed up and simplify IT management, maintenance, and the deployment of new applications.