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Type 1 Hypervisor
Type 1 (or native, bare-metal) hypervisors are
software systems that run directly on the host’s hardware to control the
hardware and to monitor guest operating-systems. A guest operating
system thus runs on another level above the hypervisor. Some examples
are [VMware
ESX|http://www.vmware.com/products/esx/], Xen, Microsoft Hyper-V, etc.
Type 1 hypervisors are appropriate when you want to provide the only
OS that is used on a client. When a user turns a machine on, he only
sees a single OS that looks and feels local.
Type 2 Hypervisor
Type 2 (or hosted) hypervisors are software
applications running within a conventional operating-system
environment. Considering the hypervisor layer as a distinct software
layer, guest operating systems thus run at the third level above the
hardware. Some examples are [VMware
Workstation|http://www.vmware.com/products/workstation/], VMware Fusion, MED-V, Windows Virtual PC, VirtualBox, Parallels, MokaFive, etc.
Type 2 hypervisors are appropriate when you want a user to have
access to their own local desktop OS in addition to the
centrally-managed corporate VDI OS. This could be for an [employee-owned
PC|http://www.brianmadden.com/content/article/The-rise-of-the-employee-owned-PC-in-a-world-where-CIOs-are-losing-control]scenario, or it could be a situation where you have contractors,
etc., who need access to their personal apps and data in addition to the
company’s apps and data.
Client Hypervisors
Over the past 5 years, Type 1 hypervisors are dominantly used in the
server market, whereas, Type 2 hypervisors are being used on clients,
i.e., desktops and laptops. Recently, the need for a Type 1 hypervisor
that runs locally on a client device, called the client hypervisor, has
emerged for supporting the Virtual Desktop Infrastructure VDI).