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Traditionally vSphere deployments start with configuring an ESXi hypervisor on top of a typical x86 server, wherein the hypervisor is equipped with Host or VMM management and compute virtualization features. Depending on the scenario, network and storage virtualization functions are also configured at the same instance. Lastly, virtual machines are created, and applications are configured on these virtual machines.
Figure 1. VMware vSphere Distributed Services Engine