Virtualization, perhaps more than any other technology, is powering tremendous growth in cloud-based services. At its heart, virtualization is a hypervisor that allows the provisioning of virtual machines on a single piece of hardware.
For cloud services the hypervisor is the key enabler for two reasons.
First it allows the underlying hardware to be divided up, allowing some organizations to maximize their hardware utilization, and second, it provides a way of provisioning new services without having to be in the data room. The economic benefits of increasing hardware utilization are obvious; however, it is a single shot of efficiency. But the ability to provision services on demand is the feature which fuels the continual growth in demand for cloud services.
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