Nah, that is separate physical machines. For VMs it's more like a multitenant toaster colo, with every toaster in its own asbestos cage, but sharing power and network^Wbread. For containers, it's like putting them all in one house but putting a fuse and RCD on every toaster. A traditional server is building a custom house each time and the toasters are all plugged into the same socket.

I'm not sure the toaster analogy will gain mass acceptance.

What if you're hosting toasters owned by people who might be rude teenagers who want to set any house with a rival toaster in it on fire?

When Docker can safely protect a Minecraft server in one container from a local DoS attack coming from a bot running in a sibling container, I'll reconsider using VMs. :P