A virtual machine tool (VMT) is presented in this two-part paper. In Part 1, the analytical foundation for a virtual machining system is developed, which is envisioned as the foundation for a comprehensive simulation environment capable of predicting the outcome of cutting processes. The VHT system undergoes "pseudo-real machining", before actual cutting with a CNC machine tool takes place, to provide the proper cutting conditions for process planners and to compensate or control the machining process in terms of the productivity and attributes of the products. The attributes can be characterized by the machined surface error, dimensional accuracy, roughness, integrity, and so forth. The main components of the VMT are the cutting process, application, thermal behavior, and feed drive modules. In Part 1, the cutting process module is presented. When verified experimentally, the proposed models gave significantly better prediction results than any other methods. In Part 2 of this paper, the thermal behavior and feed drive modules are developed, and the models are integrated into a comprehensive software environment.vironment.