Virtualization in computing refers to the use of software to create a virtual resource that runs on a layer abstract from the physical hardware. It allows a computing environment to run several independent systems - the so-called virtual machines - simultaneously. These virtual machines share the same physical IT infrastructure and are managed and coordinated by an additional software interface named hypervisors. This concept provides the possibility to make more efficient use of IT infrastructure resources. One example is segmenting server capacities into smaller parts that allows for the distribution of the server's capabilities among many users and environments.
Almost any type of IT infrastructure can be virtualized, including servers, desktops, networks, storage, data, applications, data centers, CPUs, and GPUs. Virtualization is also used in cloud computing as a critical building block. The technology has its origins in the 1960s and 1970s but took off in the 1990s and 2000s with the increasing demand for computing power. Today it is standard practice in IT enterprise infrastructure.
Virtualization market expected to grow further
Today the global virtualization software market has a size of around 15 billion U.S. dollars and is expected to grow by at least 10 billion U.S. dollars over the next few years. The most common type of virtualization is server virtualization, with more than 90 percent of companies in North America and Europe making use of it. Other types of virtualization are not as commonly used today with the usage rate of storage, application, desktop, data, and network virtualization in businesses ranging between 30 and 40 percent. Roughly an additional 10 percent of companies plan to use virtualization within the next two years, showing further growth potential in the market.
Businesses see benefits from virtualization usage
Virtualization offers several benefits for enterprises and businesses, such as increased IT agility, scalability, and flexibility while creating significant cost saving opportunities. It enables organizations to utilize their physical hardware resources more efficiently. Reduced downtime, simplified data center management, increased productivity for IT teams, performance increases, and higher availability of resources are additional potential benefits of virtualization. As a result, more than half of businesses worldwide use virtualization technologies such as network function virtualization, SD-WAN, or desktop virtualization or have it on their future agenda. Almost a third of companies have virtualization on their IT transformation initiatives with around 10 percent of IT software budgets allocated to virtualization.
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In the following 5 chapters, you will quickly find the 38 most important statistics relating to "Virtualization".