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This technique, implemented at the host level, applies only between VMs placed on a given physical host. In a multiserver data center, opportunities for sharing may be lost because the VMs holding identical pages are resident on different hosts. In order to obtain the full benefit of content-based page sharing it is necessary to place virtual machines such that VMs with similar memory content are located on the same hosts.<\/jats:p>\n          <jats:p>In this paper we present Memory Buddies, a memory sharingaware placement system for virtual machines. This system includes a memory fingerprinting system to efficiently determine the sharing potential among a set of VMs, and compute more efficient placements. In addition it makes use of live migration to optimize VM placement as workloads change.We have implemented a prototype Memory Buddies system with VMware ESX Server and present experimental results on our testbed, as well as an analysis of an extensive memory trace study. 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