Virtualization is a technology that creates multiple virtual versions of a single physical resource, like a server. Its primary purpose is to optimize hardware utilization, reduce costs, and enhance flexibility. By dividing a physical machine into multiple virtual ones, organizations can run various operating systems and applications simultaneously. Benefits include improved server utilization, faster deployment of applications, increased disaster recovery capabilities, and cost savings on hardware and energy consumption. While virtualization refers to the overall concept, a hypervisor is the specific software that enables virtualization by managing and allocating resources to virtual machines. Therefore, they are different but interconnected, as a hypervisor is essential for virtualization to occur.