The new solution will allow HiChina to create multiple, isolated virtual environments on a single physical server to share hardware licenses.

SWsoft, a server automation and virtualization software company, yesterday announced that HiChina, a web hostng provider in china, have launched Virtual Private Server services using Virtuozzo virtualization software.

According to the company, there are approx 2.95 million domain names in China and 788,000 active web sites. With a population of 1.3 billion and 123 million people wired in China, hosting services are a high-growth segment of the emerging Internet economy.

As dedicated servers are expensive in China, hosting providers need solutions that maximize server resources with minimal downtime and costs. Virtuozzo virtualization technology creates multiple, isolated virtual environments on a single physical server to share hardware, licenses and management effort.

"Internet addresses, dedicated servers and VPSs are very rare in China and, as a result, the costs are much higher as compared with Europe and the United States," said Silen Zhang, CEO, SWsoft China. "Virtuozzo operating system-level technology provides a cost-efficient alternative that enables VPS hosters like HiChina to provide better customer service and tap into the needs of one of the fastest growing segments in China - small-to-medium size businesses."