I think there are two "Docker for Windows" one is docker desktop used on windows client OS where you can switch between windows and linux containers. This is the one where it runs a VM for the Linux containers but it's designed for development and not so much for hosting (at least I have not get it to work for this)

And there is the docker that's included in Windows Server wich can only run windows containers but those natively and suitable for hosting dotnet web services on scale.