VHD file is an mirror image of hard disk that consists of disk partition, file system with all files/folders information and content. Multiple application that helps to implement the virtualization on Windows system utilize VHD file information and mount VHD file on host machine. Microsoft Hyper-V, Windows Server 2002 and Virtual PC mount VHD file on windows supported system.

Virtualization simply means creating virtual of something it can be operating system, server or hard disk. As basic term, it is the procedure to run multiple operation system in parallel on a single operating system. It requires a piece of hardware to run multiple operating systems from the same spot.

In virtualization there are two components one is Host (main operating system) and Guest (secondary operating system). Virtualization concept demands virtualization software that runs on host operating machine. When virtualization application is running on system, it automatically mount VHD file on host machine. Virtualization software decouples one virtual system from anther with a thin software layer.