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For the common network drive letter, see file server. A Z-drive is a type of marine propulsion unit. Specifically, it is an azimuth thruster. The pod can rotate 360 degrees allowing for rapid changes in thrust direction and thus vessel direction.
Fusion Drive is a combination of high-speed flash storage with a high-capacity conventional hard drive. The SSD portion is meant to enable faster booting and application launches, with OS X intelligently managing which files go where based on usage patterns.