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The VHD (Virtual Hard Disk) and VMDK (Virtual Machine Disk) file formats are specifically designed to serve as disk image formats for virtual machines. These formats encapsulate the data that would typically reside on a physical disk, enabling virtual machines to operate as if they were using actual hard drives. By using these disk image formats, virtual environments can create, manage, and transfer virtual hard drives that contain the operating system, applications, and files. This facilitates the deployment of virtual machines on hypervisors, allowing for effective virtualization and resource management.
The other options describe different functions that do not align with the purpose of VHD and VMDK formats. For example, network settings, video file compression, and file transfer standards relate to completely different areas within technology. Understanding the specific use of VHD and VMDK regarding virtual machines is essential in the realm of virtualization and cloud computing.