Cold migration has its place, but one of the absolute neatest features of Xen is the ability to move a domain from one physical machine to another transparently, that is, imperceptibly to the outside world. This feature is live migration.
As with cold migration, live migration transfers the domain's configuration as part of its state; it doesn't require the administrator to manually copy over a config file. Manual copying is, in fact, not required at all. Of course, you will still need the config file if you want to recreate the domain from scratch on the new machine.
Live migration has some extra prerequisites. It relies on the domain's storage being accessible from both machines and on the machines being on the same subnet. Finally, ...
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