Which type of hypervisor is physically installed on a server?

A hypervisor that is physically installed on a server is known as a Type 1 hypervisor. This type of hypervisor operates directly on the host hardware and manages the hardware resources efficiently. It provides better performance, scalability, and stability compared to other types because it doesn't rely on a host operating system.

By interfacing directly with the underlying hardware, Type 1 hypervisors can allocate resources such as CPU, memory, and storage to various virtual machines (VMs) more effectively. This direct access allows for reduced overhead and lower latency, making it ideal for enterprise environments where performance is critical.

In contrast, Type 2 hypervisors run on top of a conventional operating system. While they are suitable for development and testing environments, they usually exhibit higher latency and overhead due to the additional layer of the host OS. VDI refers to Virtual Desktop Infrastructure, which is a deployment model rather than a type of hypervisor. A hybrid hypervisor typically combines aspects of both Type 1 and Type 2 but is less commonly referenced as a standalone category.