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Server virtualization is the process of dividing a real server into several virtual servers, also referred to as virtual private servers. Virtual private servers have independent operation capabilities. Server virtualization is simply the process of separating the operating system, memory, and processors from the actual physical server in order to allow system administrators to run multiple virtualized servers on a single physical server. This definition of virtualization is similar to the other definitions we've covered so far. To do this, an administrator uses specialized software to partition the physical server's resources into multiple virtual machines (VMs), also called virtual private servers. These virtual environments are also known as guests, instances, and containers. In IT infrastructure, the concept of server virtualization is widely used to cut costs by optimizing the utilization of current resources.