Modern operating systems require careful engineering and modular design for functionality and ease of modification, moving away from monolithic structures seen in systems like MS-DOS and early Unix. Type 1 hypervisors act as data-center operating systems, managing guest operating systems while optimizing resource utilization and providing features such as live migration and snapshots. Additionally, effective communication in distributed systems relies on addressing, routing, and the Domain Name System (DNS) for name resolution, replacing earlier methods that were no longer feasible as networks grew.