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Why VMs?
I don't like lxc containers, and my build automation works well at the full system level vs containers.
Running your services bare metal these days is insane. If I have a problem, I just restore or rebuild that purpose-built vm from configuration management. This is also a lot more flexible and cost effective vs having separate hardware for each thing.
Redundancy is also easier, should I decide it is worth the hardware investment.
While you are correct with insanity of running bare-metal, this argument is manipulative. Indeed, no sane person will ditch existing kernel(e.g. Linux of FreeBSD) and write one themselve, running program in common OS is not bare-metal.
Another manipulation is VM vs per-dervice dedicated hardware.
Same thing valid for regular userland.