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I realize I’m being pedantic, but aren’t docker containers essentially just wrapped VMs?
No, containers are basically sandboxed applications+dependencies running on top of the host's kernel. VMs run their own separate kernel. If anything, a container is less "wrapped" than a VM.
Containers share the system’s resources with the OS; VMs take these resources for themselves.
Docker containers are more like LXCs—in fact, early versions of Docker used LXC under the hood, but the project diverged over time and support for LXC was eventually dropped as they switched to their own container runtime.
Nope. Docker containers are kind of "virtual filesystems" and programs are running on top of the host's kernel. They're just isolated processes running on their own volume - to which you can also attach external "volumes".