A virtual machine allocates computing resources, including CPU cores, RAM, SSD or mechanical disk storage, and network connectivity. Virtual machines are derived from physical machines and represent a portion of the resources of the underlying physical machine.
For example, a physical machine with 128 CPU cores, 128 GB of RAM, and 1 TB of SSD storage could be split into 4 VMs, each with 32 CPU cores, 32 GB of RAM, and 250 GB of SSD storage.