Virtualization is the most needed in cloud computing. Virtualization helps in transferring data easily, protects from system failures, reduces the cost of operations, and provides security to data. Virtualization also helps in increasing the efficiency of the development and operations team by not creating the physical systems for their tasks. They can use virtual machines and servers for testing applications or software.
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You can watch this video on virtualization in cloud computing to know the need of virtualization in cloud computing: