The following features and feature improvements were introduced in

Windows Server 2016:

Nano Server.
Nano Server is a new installation option for Windows Server 2016. With no
graphical or command prompt interface, it has a significantly lower
hardware requirement than Server Core. Nano Server is the ideal platform
for Hyper-V, Hyper-V cluster, and scale-out file servers and cloud service
apps.

Windows Server containers and Hyper-V containers.

Containers enable you to isolate your apps from the operating system
environment. This improves security and reliability. Windows containers are
isolated from one another but run on the host operating system. Hyper-V
containers are further isolated, because they run within a virtual machine.

Docker.
Docker is a technology for managing containers. Although Docker is usually
associated with Linux, Windows Server 2016 provides support for Docker
for managing Windows containers and Hyper-V containers.

Rolling upgrades for Hyper-V and storage clusters.

These upgrades enable you to add Windows Server 2016 nodes to an
existing Windows Server 2012 R2 failover cluster. The cluster continues to
operate at a Windows Server 2012 R2 functional level until all the nodes are
upgraded.

The ability to hot add and hot remove virtual memory and network
adapters from virtual machines.
In Hyper-V in Windows Server 2016, you can now add or remove virtual
memory and network adapters while the virtual machines are running.

Nested virtualization.
In Hyper-V in Windows Server 2016, you can enable nested virtualization,
enabling you to run Hyper-V virtual machines within a virtual machine.

Shielded virtual machines. Shielding your virtual machines enables you to
help protect the data on them from unauthorized access.
PowerShell Direct. This feature enables you to run Windows PowerShell
commands against a guest operating system in a virtual machine without
handling security policies, host network settings, or firewall settings.

Windows Defender. Windows Defender is provided to help protect your

server against malware. Although the Windows Defender interface is not
installed by default, the antimalware patterns are automatically kept up-to-
date.

Storage Spaces Direct. This feature enables you to build highly available
storage with directly attached disks on each node in a cluster. The Server
Message Block 3 (SMB3) protocol provides resiliency.

Storage Replica. This feature enables you to synchronously or

asynchronously replicate volumes at the block level.

Microsoft Passport. This service replaces passwords with two-factor

authentication that consists of an enrolled device and a Windows Hello
(biometric) or PIN. This helps provide a more secure and convenient sign-in
experience.

Remote Desktop Services. You can now use an Azure SQL database to
create a high availability environment for Remote Desktop Connection
Broker.

Active Directory Domain Services (AD DS). AD DS improvements include

support for privileged access management (PAM), support for Azure AD
Join, along with support for Microsoft Passport.

Import-Module .\NanoServerImageGenerator -Verbose

New-NanoServerImage -Edition <edition> -DeploymentType <deployment type> -

MediaPath <media path> -BasePath <base path> -TargetPath <target path> -
ComputerName <computer name> -Packages <packages> -<other package
switches>