Which of the following BEST describes server virtualization?

Server virtualization is best described as having multiple logical servers operating on the same physical server. This approach allows a single physical server to be divided into several smaller units, called virtual machines (VMs), each acting as an independent server environment. Each virtual machine can run its own operating system and applications, enabling efficient use of hardware resources, reduced costs, and improved flexibility in managing server workloads.

This method is advantageous for consolidating server resources, managing load balancing, and scaling infrastructure without the need for additional physical hardware. It provides isolation between different server environments, allows for easier backup and recovery processes, and simplifies testing and development activities.

In contrast, other options do not accurately capture the essence of server virtualization. For instance, stating that a single logical server operates on multiple physical servers refers more to clustering or load balancing rather than virtualization. Describing applications hosted on a single server and deployed to multiple users relates to application deployment rather than server virtualization. Finally, the notion of multiple servers hosting applications for multiple users implies a physical server setup, which again does not encapsulate the core concept of virtualization as it lacks the emphasis on the efficiency and independence of virtual machines within one physical server.