Originally Posted by
RaZz!
not necessarily. you can operate servers by remote control, e.g. through rdp (remote desktop protocoll), ssh (secure shell), or whatever, which doesn't have anything to do with virtualization (but of course can be used simultaneously with each other).
the leader in virtualization atm is vmware with its e.g. esx server, which is basically a slimmed down unix/linux os. now, after a esx server is set up you can connect to it through a client (e.g. virtual infrastructure client) and create new virtual machines on one physical machine. these virtual machines (vm) share the same physical hardware, but the esx server (respectively the virtualization software) divides the physical resources into every vm.
i hope this explanation helps. i'm not a native english speaker as well, so it's always hard to explain something :D