Exalogic is an engineered system optimized for running Oracle middleware and applications. The document discusses Exalogic's hardware and software components, including the Exalogic Elastic Cloud Software (EECS) which provides virtualization, management, and cloud capabilities. Key features of the latest EECS 2.0.6 release include improved performance, stability, deployment tools, and the ability to run virtual and physical environments on the same Exalogic rack.