Virtualization allows multiple virtual machines with separate operating systems, to run in isolation, side-by-side on the same physical machine. Each virtual machine has its own set of virtual hardware (e.g., RAM, CPU, NIC, etc.) upon which an operating system and applications are loaded. The operating system sees a consistent, normalized set of hardware regardless of the actual physical hardware components.

Bogomil Balkansky, director of product marketing for VMware, joins Phil and Scott to discuss the company's activities in providing solutions to organizations wanting to take advantage of the benefits of virtualization. In addition to giving his background and what led him to virtualization, he talks about how many companies are now using it, often with a default virtualization policy. The group also reviews the tangible financial benefits, including savings in both technology and power consumption.