* [Topics](/en/topics "Topics") * [Hybrid cloud](/en/topics/cloud-computing "Hybrid cloud") * What's the difference between cloud and virtualization? What's the difference between cloud and virtualization? ======================================================= Updated December 18, 2024•*6*-minute read Copy URL Jump to section --------------- OverviewComparisonHow cloud and virtualization interactSecurity considerationsEmerging trendsWhy choose Red Hat? Virtualization is a technology, cloud is an environment ------------------------------------------------------- It’s easy to confuse [virtualization](/en/topics/virtualization/what-is-virtualization) and [cloud](/en/topics/cloud-computing), particularly because they both revolve around creating useful environments from abstract resources. However, virtualization is a technology that lets you create multiple simulated environments or dedicated resources from a single, physical hardware system, and clouds are IT environments that abstract and share scalable resources across a network. To put it simply, virtualization is a technology, whereas cloud is an environment. [Learn more about the state of virtualization](/en/engage/state-of-virtualization-ebook) A practical comparison ---------------------- Virtualization can make 1 resource act like many, while cloud computing lets different departments (through [private cloud](/en/topics/cloud-computing/what-is-private-cloud)) or companies (through [public cloud](/en/topics/cloud-computing/what-is-public-cloud)) access a single pool of automatically provisioned resources. ### Virtualization [Virtualization](/en/topics/virtualization) is technology that lets you create multiple simulated environments or dedicated resources from a single, physical hardware system. Software called a [hypervisor](/en/topics/virtualization/what-is-a-hypervisor) connects directly to that hardware and allows you to separate 1 system into distinct, secure environments known as [virtual machines (VMs).](/en/topics/virtualization/what-is-a-virtual-machine) These VMs rely on the hypervisor’s ability to separate the machine’s resources from the hardware and distribute them appropriately. ### Cloud computing Cloud computing is a set of principles and approaches to deliver compute, network, and storage infrastructure resources as well as services, platforms, and applications to users on demand across any network. These infrastructure resources, services, and applications are sourced from clouds—which are pools of virtual resources orchestrated by management and automation software—so they can be accessed by users on demand through self-service portals supported by automatic scaling and dynamic resource allocation. | | Virtualization | Cloud | | --- | --- | --- | | Definition | Technology | Methodology | | Purpose | Create multiple simulated environments from 1 physical hardware system | Pool and automate virtual resources for on-demand use | | Use | Deliver packaged resources to specific users for a specific purpose | Deliver variable resources to groups of users for various purposes | | Configuration | Image-based | Template-based | | Lifespan | Years (long-term) | Hours to months (short-term) | | Cost | High capital expenditures (CAPEX), low operating expenses (OPEX) | Private cloud: High CAPEX, low OPEX Public cloud: Low CAPEX, high OPEX | | Scalability | Scale up | Scale out | | Workload | Stateful | Stateless | | Tenancy | Single tenant | Multiple tenants | Red Hat OpenStack Services on OpenShift --------------------------------------- [Get the resource](/en/resources/openstack-services-on-openshift-datasheet "Get the resource") How cloud infrastructure and virtualization interact ---------------------------------------------------- Clouds are usually created to enable cloud computing, which is the act of running workloads within that system. Cloud infrastructure can include a variety of bare-metal, virtualization, or container software that can be used to abstract and share scalable resources across a network to create a cloud. At the base of cloud computing is a stable operating system (like [Linux®](/en/topics/linux)). This is the layer that gives users independence across [public, private, and hybrid environments](/en/topics/cloud-computing/public-cloud-vs-private-cloud-and-hybrid-cloud). With virtualization, the hypervisor sits on top of physical hardware and abstracts the machine's resources, which are then made available to virtual machines. These resources can be raw processing power, storage, or cloud-based applications containing all the runtime code and resources required to deploy it. If the process stops here, it's not cloud—it's just virtualization. ### Virtual resources in clouds Virtual resources need to be allocated into centralized pools before they're called clouds. Adding a layer of management software gives you administrative control over the infrastructure, platforms, applications, and data that will be used in the cloud. An [automation](/en/topics/automation) layer replaces or reduces human interaction with repeatable instructions and processes, which provide the self-service component of the cloud. You’ve created a cloud if you’ve set up an IT system that: * Can be accessed by other computers through a network. * Contains a repository of IT resources. * Can be provisioned and scaled quickly. ### Benefits of clouds vs. virtualization Clouds deliver the added benefits of self-service access, automated infrastructure scaling, and dynamic resource pools, which most clearly distinguish cloud computing from traditional virtualization. Virtualization has its own benefits, such as server consolidation and improved hardware utilization, which reduce the need for power, space, and cooling in a datacenter. VMs are also isolated environments, so they're a good option for testing new applications or setting up a production environment. [Find out how Reist uses containers and VMs together](/en/resources/reist-telecom-case-study) Security considerations in virtualization and cloud computing ------------------------------------------------------------- Cloud providers secure the infrastructure and services they offer by protecting physical and virtual systems, implementing data encryption, and adhering to industry compliance standards like the General Data Protection Regulation (GDPR) or Health Insurance Portability and Accountability Act (HIPAA). They must provide tools for identity and access management, threat detection, secure application deployment, and disaster recovery. Cloud providers monitor for threats and maintain secure datacenters with strict physical controls while their customers are responsible for configuring services securely to protect their data. This collaboration is known as the shared responsibility model and ensures a strong security foundation while enabling customers to manage their workloads effectively. Security in virtualization involves protecting the hypervisor, VMs, networks, storage, and applications through a combination of isolation, access control, and monitoring. Isolation prevents compromised systems from affecting others, while hypervisor security is maintained through updates and restricted access. Virtualized networks are protected with firewalls, segmentation, and encryption. Storage is secured with encryption, access controls, and backups. [Identity and access management (IAM)](/en/topics/security/what-identity-and-access-management-iam) measures, such as [role-based access control (RBAC)](/en/topics/security/what-is-role-based-access-control) and multi-factor authentication (MFA), prevent unauthorized access, while continuous monitoring detects potential threats. Regular patching, compliance with industry regulations, and disaster recovery plans further ensure that virtualized environments remain secure and resilient. [Find out more about securing hybrid cloud environments](/en/resources/securing-hybrid-cloud-environments-esg-analyst-material) ### Compliance in cloud security [Compliance](/en/topics/management/what-is-compliance-management) with regulations and standards is a critical security consideration for businesses using cloud services because it ensures that sensitive data is protected, risks are minimized, and legal obligations are met. Many industries, such as healthcare, finance, and government, are governed by strict data protection regulations like GDPR, HIPAA, or Payment Card Industry Data Security Standard (PCI DSS). Businesses using cloud services must ensure that their chosen cloud provider complies with these requirements to avoid penalties, legal consequences, and reputational damage. While cloud providers offer compliance certifications and adhere to standards to demonstrate their commitment to secure practices, their customers must configure their cloud environments to manage access controls and ensure their data-handling processes align with the necessary regulations. Emerging trends in virtualization and cloud computing ----------------------------------------------------- As the needs for and applications of virtualization and cloud computing evolve, many new trends emerge are changing how we use the technology and environment. ### 5G 5G network adoption increases opportunities for virtualization because 5G’s high bandwidth and low latency enable virtualized network functions (VNFs) and edge computing at scale. The integration of 5G networks and virtualization can drive advancements in smart cities, industrial automation, and immersive experiences. ### AI/ML and quantum computing As virtualization further integrates with [artificial intelligence](/en/topics/ai) (AI) and [machine learning](/en/topics/ai/what-is-machine-learning) (ML), AI-driven analytics can enhance resource allocation, security, and preventative maintenance in virtualized environments while ML algorithms automate routine tasks and fine-tune workloads to ensure optimal performance and operational efficiency. AI-driven cloud management optimizes resource allocation, predicts failures, and streamlines workload management, improving performance and reliability while lowering operational costs. As cloud environments grow more complex, they become difficult to maintain if humans are needed to manually provision and manage services. For these reasons, AI and its automated decision-making are becoming essential for building scalable and resilient cloud infrastructures. Quantum cloud computing promises exponential growth in processing power, enabling faster problem-solving that could revolutionize innovation and scientific research. ### Serverless [Serverless](/en/topics/cloud-native-apps/what-is-serverless) computing is a model for application development in which developers create application code without provisioning or managing servers or back-end infrastructure. Despite its name, serverless computing simply means the servers are "invisible" to developers, who focus on front-end application code without interacting with or managing servers. Those servers are instead managed by a cloud service provider. ### Sustainability Green computing is a trend that will likely expand its profile as the infrastructure, electricity, and cooling required for cloud computing continues to increase environmental impact. 5G, serverless, quantum computing, and AI all increase the demand for energy and create more waste. Green computing emphasizes increasing hardware and software efficiency. It encompasses e-waste reduction as aging hardware produces immense amounts of waste each year while shortages of rare earth minerals drive demand for better recycling. [Find out more about AI models in the hybrid cloud](/en/resources/openshift-ai-overview) Why choose Red Hat for virtualization? -------------------------------------- This video can't play due to privacy settings To change your settings, select the "Cookie Preferences" link in the footer and opt in to "Advertising Cookies or try disabling adblockers." YouTube video: Is OpenShift Virtualization right for your VMs? Video duration: 1:57 ### Migrate your VMs and maintain your momentum Red Hat’s trusted products and [partner ecosystem](/en/technologies/cloud-computing/openshift/virtualization/partners) deliver comprehensive [virtualization solutions](/en/products/virtualization). Migrate your virtual machines now to [Red Hat® OpenShift® Virtualization](/en/technologies/cloud-computing/openshift/virtualization), a modern application platform—based on [KVM](/en/topics/virtualization/what-is-KVM) and [KubeVirt](/en/topics/virtualization/what-is-kubevirt)—that integrates virtual and containerized workloads to provide flexibility without added complexity. Or, for a dedicated virtualization solution, explore [Red Hat OpenShift Virtualization Engine](/en/technologies/cloud-computing/openshift/virtualization-engine), a streamlined, cost-effective offering to deploy, manage, and scale VMs exclusively. The included [migration toolkit for virtualization](https://developers.redhat.com/products/mtv/overview) provides the tools you need to start your migration in a few simple steps. [Explore Red Hat OpenShift Virtualization as a VMware admin](https://cloud.redhat.com/learn/high-level-guide-red-hat-openshift-virtualization-vmware-admin) ### Automate your migration Use automation to accelerate delivery with [Red Hat Ansible® Automation Platform](/en/technologies/management/ansible)—from migration at scale to Day 2 operations and remediation. With this flexible approach, you can automate tasks to improve speed and efficiency of IT operations. [Learn how to automate virtual infrastructure management](/en/technologies/management/ansible/virtual-infrastructure-management) ### Manage and modernize at your own pace Monitor the security and performance of your VMs from a single console with [Red Hat Advanced Cluster Management](/en/technologies/management/advanced-cluster-management). With additional support options and partner integrations, you can rely on Red Hat to keep your virtual infrastructure running smoothly throughout the hybrid cloud—and help you modernize when you’re ready. [Explore our virtualization solution](/en/products/virtualization) Migrate and manage virtual infrastructure ----------------------------------------- Companies are reassessing their virtualization platforms to ensure they have the right combination of consistency and support. Download to read more. [Keep reading](/en/engage/migrate-and-manage-virtual-infrastructure-ebook "Migrate and manage virtual infrastructure") 15 reasons to adopt Red Hat OpenShift Virtualization ---------------------------------------------------- Discover how Red Hat OpenShift Virtualization can unify and simplify your IT operations, using one platform for both virtual machines and containers. [Get the resource](/en/resources/15-reasons-adopt-openshift-virtualization-ebook "15 reasons to adopt Red Hat OpenShift Virtualization") Keep reading ------------ ### What is hybrid cloud? Find out more about hybrid cloud, a combination of computing environments that share information and run a uniform series of applications. [Read the article](/en/topics/cloud-computing/what-is-hybrid-cloud "article | what is hybrid cloud") ### Why are financial services slow to adopt the cloud? Find out why the financial services industry is slow to adopt the cloud, and why it's still a good idea to get started. [Read the article](/en/topics/financial-services/why-financial-services-are-slow-to-adopt-cloud "article | Why are financial services slow to adopt the cloud?") ### What is the role of the cloud in embedded finance? Embedded finance is a significant opportunity for almost every business in the financial services sector. Find out how cloud platforms can help you achieve success in embedded finance. [Read the article](/en/topics/financial-services/the-role-of-cloud-in-embedded-finance "article | The role of the cloud in embedded finance") Hybrid cloud resources ---------------------- ### Related content * Blog post [Simplify Linux management across your systems’ lifecycles with Red Hat Insights](/en/blog/simplify-linux-management-across-your-systems-lifecycles-red-hat-insights) * Blog post [Optimize your virtualization platform: IBM Turbonomic now manages VMs on Red Hat OpenShift](/en/blog/optimize-your-virtualization-platform-ibm-turbonomic-now-manages-vms-red-hat-openshift) * Blog post [Elevate your Citrix Virtual Apps and Desktops experience with Red Hat OpenShift Virtualization](/en/blog/elevate-your-citrix-virtual-apps-and-desktops-experience-red-hat-openshift-virtualization) * Blog post [Evolve your Citrix Infrastructure: Unlocking agility and efficiency with Red Hat OpenShift Virtualization](/en/blog/unlocking-agility-and-efficiency-red-hat-openshift-virtualization) ### Related articles * [What is a virtual machine (VM)?](/en/topics/virtualization/what-is-a-virtual-machine) * [What is cloud migration? And how can automation help?](/en/topics/automation/what-is-cloud-migration) * [Why run Linux on AWS?](/en/topics/linux/linux-on-aws) * [What is hybrid cloud?](/en/topics/cloud-computing/what-is-hybrid-cloud) * [What is serverless?](/en/topics/cloud-native-apps/what-is-serverless) * [Why choose Red Hat Enterprise Linux on Azure?](/en/technologies/linux-platforms/enterprise-linux/why-choose-red-hat-enterprise-linux-on-azure) * [Why choose Red Hat Enterprise Linux on AWS?](/en/technologies/linux-platforms/enterprise-linux/why-choose-red-hat-enterprise-linux-on-aws) * [What is virtualization?](/en/topics/virtualization/what-is-virtualization) * [Red Hat OpenShift on VMware](/en/technologies/cloud-computing/openshift/vmware) * [What is virtualization management?](/en/topics/virtualization/what-is-virtualization-management) * [How to migrate VMs from VMware to Red Hat OpenShift Virtualization](/en/technologies/cloud-computing/openshift/migrate-vmware-to-openshift-virtualization) * [KVM vs. VMware](/en/topics/virtualization/kvm-vs-vmware-comparison) * [What is virtual infrastructure management? And how can automation help?](/en/topics/automation/virtual-infrastructure-management) * [How to choose a virtualization platform](/en/topics/virtualization/how-to-choose-a-virtualization-platform) * [What is KVM?](/en/topics/virtualization/what-is-KVM) * [What is KubeVirt?](/en/topics/virtualization/what-is-kubevirt) * [What is live migration?](/en/topics/virtualization/what-is-live-migration) * [Why choose Red Hat for virtualization?](/en/topics/virtualization/why-choose-red-hat-for-virtualization) * [What is CloudOps?](/en/topics/automation/what-is-cloudops) * [Linux on Azure](/en/topics/linux/linux-on-azure) * [Linux for cloud computing](/en/topics/linux/linux-for-cloud-computing) * [Why migrate virtual machines to Red Hat?](/en/topics/virtualization/why-migrate-your-virtual-machines-to-red-hat) * [Why run Linux on Google Cloud?](/en/topics/linux/linux-on-google-cloud) * [Why choose Red Hat Enterprise Linux on Google Cloud?](/en/technologies/linux-platforms/enterprise-linux/why-choose-red-hat-enterprise-linux-google-cloud) * [Why are financial services slow to adopt the cloud?](/en/topics/financial-services/why-financial-services-are-slow-to-adopt-cloud) * [Containers vs VMs](/en/topics/containers/containers-vs-vms) * [What is Cloud Foundry?](/en/topics/application-modernization/what-is-cloud-foundry) * [What is the role of the cloud in embedded finance?](/en/topics/financial-services/the-role-of-cloud-in-embedded-finance) * [OpenShift vs. OpenStack: What are the differences?](/en/technologies/cloud-computing/openshift/openshift-vs-openstack) * [Cloud services for financial services](/en/topics/financial-services/cloud-services-for-financial-services) * [Kubernetes vs OpenStack](/en/topics/openstack/kubernetes-vs-openstack) * [What is telco cloud?](/en/topics/cloud-computing/what-is-telco-cloud) * [What is cloud orchestration?](/en/topics/automation/what-is-cloud-orchestration) * [What is cloud governance?](/en/topics/automation/what-is-cloud-governance) * [What is a hypervisor?](/en/topics/virtualization/what-is-a-hypervisor) * [What is public cloud?](/en/topics/cloud-computing/what-is-public-cloud) * [Learn everything you need to know about Open RAN](/en/topics/5g-networks/what-is-open-ran) * [Cloud vs. edge](/en/topics/cloud-computing/cloud-vs-edge) * [Why build a Red Hat cloud?](/en/topics/cloud-computing/why-choose-red-hat-cloud) * [What is multicloud?](/en/topics/cloud-computing/what-is-multicloud) * [What is cloud architecture?](/en/topics/cloud-computing/what-is-cloud-architecture) * [VNF and CNF, what’s the difference?](/en/topics/cloud-native-apps/vnf-and-cnf-whats-the-difference) * [What is cloud automation?](/en/topics/automation/what-is-cloud-automation) * [Types of cloud computing](/en/topics/cloud-computing/public-cloud-vs-private-cloud-and-hybrid-cloud) * [What is SD-WAN?](/en/topics/edge-computing/what-is-sd-wan) * [What is cloud-based digital banking?](/en/topics/cloud-computing/what-is-cloud-based-digital-banking) * [Do banking APIs benefit from cloud technology?](/en/topics/api/banking-api) * [What is network virtualization?](/en/topics/virtualization/what-is-network-virtualization) * [What is a radio access network?](/en/topics/5g-networks/what-is-radio-access-network) * [What is payments infrastructure?](/en/topics/financial-services/what-is-payments-infrastructure) * [What is multitenancy?](/en/topics/cloud-computing/what-is-multitenancy) * [What is hyperconverged infrastructure?](/en/topics/hyperconverged-infrastructure/what-is-hyperconverged-infrastructure) * [What is software-defined networking?](/en/topics/hyperconverged-infrastructure/what-is-software-defined-networking) * [What is private cloud?](/en/topics/cloud-computing/what-is-private-cloud) * [What is NFV?](/en/topics/virtualization/what-is-nfv) * [What is IT infrastructure?](/en/topics/cloud-computing/what-is-it-infrastructure) * [What is cloud infrastructure?](/en/topics/cloud-computing/what-is-cloud-infrastructure) * [Hybrid cloud security](/en/topics/security/what-is-hybrid-cloud-security) * [What is container-native virtualization?](/en/topics/containers/what-is-container-native-virtualization) * [What is cloud storage?](/en/topics/data-storage/what-is-cloud-storage) * [What is cloud security](/en/topics/security/cloud-security) * [What is cloud management?](/en/topics/cloud-computing/what-is-cloud-management) * [What is vRAN?](/en/topics/virtualization/what-is-vran) [More about this topic](/en/topics/cloud-computing "More about this topic")