LVM2, or Logical Volume Manager version 2, is a system for managing disk storage in a flexible way. It allows users to create, resize, and delete disk partitions, known as logical volumes, without needing to reboot the system. This makes it easier to allocate storage space according to changing needs. LVM2 works by abstracting the physical storage devices, such as hard drives and SSDs, into a single pool of storage. Users can then manage this pool more efficiently, enabling features like snapshots for backups and dynamic resizing, which enhances overall system performance and reliability.