Explore a 14-minute conference talk from OSDI '22 that introduces CAP-VMs, a novel approach to capability-based isolation and sharing in cloud environments. Delve into the challenges of balancing application component isolation with efficient data sharing on physical hosts. Learn how forthcoming CPUs with hardware support for memory capabilities offer new opportunities for fine-grained isolation and sharing. Discover the concept of cVMs, a VM-like abstraction that utilizes memory capabilities to isolate components while supporting efficient data exchange. Examine the two capability-based primitives for cross-cVM communication and their implementation using CHERI RISC-V capabilities. Gain insights into how this approach can improve cloud stack security and performance, demonstrated through prototype implementations with Redis and Python services.