AbstractEfficient resource allocation through Virtual machine placement in a cloud datacenter is an ever-growing demand. Different Virtual Machine optimization techniques are constructed for different optimization problems. Particle Swam Optimization (PSO) Algorithm is one of the optimization techniques to solve the multidimensional virtual machine placement problem. In the algorithm being proposed we use the combination of Modified First Fit Decreasing Algorithm (MFFD) with Particle Swarm Optimization Algorithm, used to solve the best Virtual Machine packing in active Physical Machines to reduce energy consumption; we first screen all Physical Machines for possible accommodation in each Physical Machine and then the Modified Particle Swam Optimization (MPSO) Algorithm is used to get the best fit solution.. In our paper, we discuss how to improve the efficiency of Particle Swarm Intelligence by adapting the efficient mechanism being proposed. The obtained result shows that the proposed algorithm provides an optimized solution compared to the existing algorithms.