Varnish is a web accelerator.
Wikipedia: A web accelerator is a proxy server that reduces web site access times. They can be a self-contained hardware appliance or installable software.
Edit /etc/varnish/default.vcl
:
backend default { .host = "127.0.0.1"; .port = "80"; }
The web server must accept connections on that IP address and serve the content. A standard virtualhost would listen only on public IP addresses.
Start varnishd:
varnishd -f /etc/varnish/default.vcl -s malloc,1G -T 127.0.0.1:2000 -a 0.0.0.0:8080
curl http://repo.varnish-cache.org/debian/GPG-key.txt | apt-key add - echo "deb http://repo.varnish-cache.org/ubuntu/ lucid varnish-3.0" >> /etc/apt/sources.list apt-get update apt-get install varnish