This document discusses virtualization and cloud computing technologies. It begins by explaining the traditional server model and its limitations. It then introduces virtualization as a way to encapsulate servers from hardware to improve scalability, availability and efficiency. Cloud computing takes this further by allowing users to provision computing resources on-demand from large remote data centers. The document outlines the benefits of these technologies in cost control, business agility and reducing the need to manage hardware. It notes some implementation challenges and discusses the status and implications of these emerging technologies.