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What are Virtual PCs (VPC), and what is the difference between a VPC and a Virtual Hard Disk (VHD)?

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What are Virtual PCs (VPC), and what is the difference between a VPC and a Virtual Hard Disk (VHD)?

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Virtual PC (VPC) is a Microsoft product that allows users to run a virtual instance of an operating system (aka Virtual Hard Disk) within an already running instance of an operating system (aka non-virtual OS). The Virtual Hard Disk (VHD) can utilize the hardware of the computer (e.g., hard drive, Ethernet card, USB ports) in the same way the non-virtual OS does. From the non-virtual OS, the VHD appears as a single, large *.vhd file.

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