Partitioning a single server to appear as multiple servers has been increasingly common on microcomputers since the launch of VMware ESX Server in 2001. The physical server typically runs a hypervisor which is tasked with creating, releasing, and managing the resources of "guest" operating systems, or virtual machines. These guest operating systems are allocated a share of resources of the physical server, typically in a manner in which the guest is not aware of any other physical resources save for those allocated to it by the hypervisor. As a VPS runs its own copy of its operating system, customers have superuser-level access to that operating system instance, and can install almost any software that runs on the OS; however, due to the number of virtualization clients typically running on a single machine, a VPS generally has limited processor time, RAM, and disk space.[2]
The licensing differences between Microsoft and open source solutions extend to the other platforms & extensions used on web servers for cloud software development, web publishing, ecommerce, and data center management. The choice of proprietary vs. open source licensing will normally be a major factordetermining the use of Windows vs. Linux in VPS hosting. Open Source platforms offer free software and development tools without the cost of the Microsoft ecosystem, but businesses and publishers will still need to invest in experienced web development and programming teams to build custom solutions.
You also get the following benefits:
The great news for VPS customers these days is that most web hosting companies offer managed VPS hosting. Here, not only will they set up your server environment, but they’ll also take care of tasks such as software upgrades, security patches, etc. Also, provision time is now greatly reduced and you can be up and running with your VPS hosting much more quickly.
If you are just starting your website and don’t receive very much traffic, then shared hosting is the ideal solution. However, if your website’s audience is consistently growing, you’ll want to consider upgrading. You don’t want to run the risk of your website running slowly or, even worse, your server crashing because it can’t handle the traffic. If you anticipate an increase in visitors, do yourself a favor and switch to VPS.
If you are familiar with hosting control panels, shell commands, and you have basic server administration and troubleshooting skills, then unmanaged VPS is the way to go. Note that while you purchase self­ managed VPS, you should be capable of managing applications, software, services installed on your VPS. Also, you must know installation/un­installations, resource monitoring, server performance tweaking and troubleshooting of any technical issues.
Shared hosting is not meant for websites that use large amounts of RAM. As your website grows and you add more and more content, you will start to see a decrease in your website’s load times. As soon as this happens, it’s an indication that you are maxing out your limits. Upgrading to a VPS will enable you to scale your website without having to worry about slow load times.
For most purposes, a virtual private server is similar to a physical server and since they are software-defined, they can be more easily configured and created.

Think of a shared server as a large apartment complex, and all of the individual apartments are rented by other website owners. All of you need a place to live — just like your website’s files — but going out to buy a huge family home would be too expensive for your needs. Sharing common areas and utilities in an apartment block helps keep costs down. And the same is true for shared hosting.
“After having shared hosting plans with other providers for many years, I switched all of my sites to Liquid Web a few months ago for my first VPS experience. It's been smooth, fast, and easy to use. At one point I suddenly ran out of disk space, and within minutes I was able to use their system to upgrade my plan and move my site to a larger partition.” – David K.

If you want to select a VPS provider located in a foreign country, you will be subject to a ridiculous amount in fees and service charges. Furthermore, you are also likely to suffer losses due to the exchange rate. On the other hand, since the government has absolutely no involvement in transactions made by bitcoins, the fees are actually minimal and may even be considered negligible by some.
So that’s it, then – a VPS is for everything in between, right? Well, yes…and no. A VPS (Virtual Private Server) is a flexible solution that falls in between shared and dedicated hosting, not only in price but also in the way it functions. Like a dedicated server, a site hosted on a VPS gets its own RAM and disk space; however, like a shared server, it uses the same processing capacity (CPU) as a certain number of other sites. So, while your site’s performance isn’t reliant on shared RAM and disk space, it is dependent on a shared processor. Moreover, the distribution of processor share varies from provider to provider.  The table below shows how most hosting companies break down the differences between shared, VPS, and dedicated hosting plans:

Unmanaged hosting requires that you ask your IT team members (or, often, a single IT person) to do the work of a skilled, full-time hosting team while also performing their other duties. And, unless you want to open up the risk of downtime, they’ll have to perform those duties 24/7/365. As you can imagine, the results are typically not as good and companies often end up paying more in the long run due to security breaches and downtime when they choose to go with unmanaged hosting.
Often, for purposes of anonymity, people prefer offshore VPS as compared to those available within their country. Offshore VPS are more difficult to trace and hence, offer greater anonymity. On the other hand, others prefer offshore servers due to a greater protection of freedom offered by the foreign country as compared to their own. Meanwhile, some decide to opt for offshore servers as they are promised far greater speeds by the providers as compared to the options present within their own country.
Bitcoin users can often even avail additional protection from attacks via services offered by the providers such as Bitcoin DDos protection, which can allow you to fend off any attack whatsoever.
Rahul, perfect inside scoop on VPS hosting. I see the great impact after moving from shared server to my own VPS. I have my VPS with so-called known Web host. But, I am not satisfied at some extent. My server freezes for 30-40 minutes on daily basis in pick hours. The host says there is no issue. But, I assume they have oversold VPS on the host server. I am planning to move my site from their server to VPS that I am purchasing from you. I have a concern of data migration. I have a single site with one MSSQL database. The total size of files and databases is less than 1 GB. Will your support team assist me in migration?

Unmetered hosting is generally offered with no limit on the amount of data-transferred on a fixed bandwidth line. Usually, unmetered hosting is offered with 10 Mbit/s, 100 Mbit/s or 1000 Mbit/s (with some as high as 10Gbit/s). This means that the customer is theoretically able to use ~3 TB on 10 Mbit/s or up to ~300 TB on a 1000 Mbit/s line per month, although in practice the values will be significantly less. In a virtual private server, this will be shared bandwidth and a fair usage policy should be involved. Unlimited hosting is also commonly marketed but generally limited by acceptable usage policies and terms of service. Offers of unlimited disk space and bandwidth are always false due to cost, carrier capacities and technological boundaries.[3]

VPS hosting costs less and offers more flexibility than dedicated hosting, but semi-dedicated and dedicated hosting services offer more resources. VPS gives greater independence than semi-dedicated hosting though, because once again, the virtual servers on a single computer have no effect on each other and they are almost as reliable as a dedicated server.
Shared hosting is not meant for websites that use large amounts of RAM. As your website grows and you add more and more content, you will start to see a decrease in your website’s load times. As soon as this happens, it’s an indication that you are maxing out your limits. Upgrading to a VPS will enable you to scale your website without having to worry about slow load times.

Michael Lavnduski:
Yes, it’s secure. VPS security comes from each instance’s isolation from the other environments on the server. Contrast that with shared hosting, where environments are sharing the same resources and can be affected by each other’s vulnerabilities. A denial of service attack on a website in a shared environment can bring down other companies’ data and websites hosted on that server, where each VPS environment is isolated and protected.
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