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VPS → vs Dedicate Servers
VPS vs dedicated servers: How to choose
What’s most important to you when selecting your web hosting? To some, it’s pricing. But there’s more to choosing the right hosting product than that.
Basing your decision entirely on price may hurt your business in the long run. When comparing prices on VPS vs dedicated servers, it may seem like they’re the same – making the least expensive option seem like a no-brainer, right? In reality, just because a hosting option is cheap doesn’t mean it’s the best solution for you.
Not sure what kind of server hosting solution you need for your business? Check out the core differences between hosting types to help you make the right decision.
Before deciding what hosting type to choose, let’s first review the definitions of VPS vs dedicated hosting.
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What is VPS hosting?
A Virtual Private Server (VPS) is a virtualized server environment that exists on a physical server. Each VPS operates as an independent server with allocated resources like CPU, RAM, and storage. VPS instances share the physical server’s resources with other virtual servers. Think of it like an apartment building – you have your own private space with dedicated resources, but you share the overall building infrastructure. This hosting solution bridges the gap between basic shared hosting and premium dedicated servers.
How VPS hosting works
Virtualization technology partitions one physical server into multiple virtual instances. Each instance receives dedicated CPU cores, RAM allocation, and disk space. Resources are isolated through hypervisor technology. The hypervisor acts as a management layer between the physical hardware and virtual servers. It ensures each VPS gets its allocated resources without interference from neighboring instances. This isolation provides security and performance consistency that shared hosting cannot match.
Businesses using VPS hosting benefit from:
- Scalable resources based on demand.
- Root access for complete server control.
- Dedicated IP addresses for each instance.
- Custom software installation capabilities.
VPS hosting pros and cons
When we shift gears to understand the benefits of VPS hosting, we see that performance matters. To keep your clients happy, you need to provide them with top-notch performance.
According to WebFX, 83% of users expect a website to load in no more than three seconds. Furthermore, a second-page speed report by Unbounce found that 70% of shoppers said page speed affects their decision to buy from a brand.
The bottom line is that when it comes to page speed, one second can make all the difference. By shaving just a single second off your page load times, you can increase your site’s conversion rate by multiple percentage points.
This in-depth breakdown of the pros and cons of VPS vs dedicated servers will help you understand everything you need to decide if VPS is the right hosting environment.
Pros of VPS hosting
Scalability: VPS systems scale resources dynamically
VPS systems are extremely flexible when it comes to scaling. They have greater capability in terms of adding and removing resources, including CPU cores, system memory, and additional disks or disk space. They are only limited by the available hardware on the parent server. However, they are generally portable between like parents. As such, they can be easily moved and upgraded through your hosting provider with minimal downtime and turn-around time for upward scaling.
Security: Each VPS operates in isolated environments
Each user occupies their own space, isolated from their neighbors with independent IP addresses. In rare instances, a virus may bypass the hypervisor – the server layer allowing for partitioning and isolation – which could leave all sites on the VPS server vulnerable. When comparing VPS and dedicated server security, dedicated servers provide physical isolation that virtual environments cannot match.
Configurability: Users receive root access for customization
There are very few restrictions with VPS hosting. Each environment is separate from the others on the server and acts exactly like a dedicated server with a few off-limit configurations. Direct access to the hardware is the most significant restriction. This prevents running hardware emulation within the VPS and accessing non-network attached storage devices.
In terms of controllability with installing specific software and custom configurations, a VPS server gives you complete access to your system to enable, disable, install, or remove any software you wish and adjust configurations to your specifications. Additionally, with VPS hosting, you aren’t restricted to the software your provider places in your environment. You can install any application on your VPS, including WordPress. However, if you’re running a WordPress site, you’ll need to consider the specific pros and cons of WordPress hosting vs VPS hosting.
Performance: Dedicated resources ensure consistent speeds
Depending on your needs, this could be a pro or con. VPS (vs dedicated) instances are limited by the available hardware assigned to the plan. There is a performance tax on the hardware when running in a virtualized setup. However, this tax has become smaller over time and provides performance levels that are more comparable to dedicated servers.
Cons of VPS hosting
Con: Mid-level cost
Variable cost is another factor that could be a pro, but it will still be more expensive than the low cost of basic shared hosting solutions.
VPS solutions come in many forms, from the smallest 2GB server to massive 128-core machines. VPS parent servers are often built from the very best hardware available and offer the most varied configurations for users.
When it comes to VPS vs dedicated servers, both will be at a higher price point than shared hosting, with VPS being the more budget-friendly option.
What is dedicated hosting?
A dedicated server is a physical server exclusively allocated to one client. The client controls all hardware resources without sharing with other users. Dedicated servers provide maximum performance, security, and customization options. Also known as bare metal servers, these machines give you complete control over the entire physical hardware. Unlike VPS hosting, where resources are virtualized, dedicated servers provide direct hardware access. This translates to superior performance for resource-intensive applications and websites with high traffic demands.
Key characteristics of dedicated hosting include:
- Enhanced security through physical isolation.
- Exclusive use of all server resources.
- No virtualization overhead.
- Complete hardware customization options.
How dedicated hosting works
Dedicated hosting involves one physical server dedicated to a particular business. The company uses that server’s hardware and software resources in isolation and doesn’t share with any other organization.
The fundamental difference between VPS hosting vs dedicated hosting lies in resource allocation. With dedicated servers, you’re not sharing CPU cycles, RAM, or storage with anyone else. Every bit of processing power is yours to command. This exclusive access enables:
- Hardware-level firewall implementations..
- Installation of specialized hardware like GPUs.
- Custom RAID configurations for data redundancy.
- Direct kernel modifications.
Dedicated hosting pros and cons
Dedicated servers can do virtually anything when it comes to hosting solutions. They are the backbone of all Internet-hosted sites or applications. All software must run on physical hardware in some form or another, so there really is no limit to what can be done with dedicated servers.
Pros of dedicated hosting
Pro 1: Highest security
Because you are the only one using the dedicated server, the risk of attack is minimal. Your connection, along with your hardware, is completely private and contained. Another important consideration is that dedicated hosting can take advantage of more advanced security measures, such as a traditional hardware firewall, while VPS hosting solutions cannot. This is a prime example of why there is more to selecting the right hosting product than just pricing.
Pro 2: High performance
Dedicated servers allow direct access to the hardware and provide amazing performance for custom configurations and increased control.
Pro 3: Highest configurability
You can configure dedicated servers any way you choose with no limitations or restrictions from the host because the user has direct access. Similar to how VPS hosting offers greater control with installing specific software and settings configurations, the same can be said for dedicated servers. However, keep in mind that although dedicated and VPS servers offer greater configurability, surface-level customization and controls aren’t made for you. An intermediate level of server knowledge is generally recommended.
Cons of dedicated hosting
Con 1: Mid-level scalability
Dedicated servers have great performance but are limited by the physical hardware and space in their chassis. Upgrades are always possible but may require significant downtime or migrations, depending on the scale of the necessary upgrade. Server clustering and high availability solutions can limit this but generally have a much higher price point. VPS environments typically offer faster vertical scaling since resources can be adjusted virtually without hardware changes.
Con 2: High cost
Generally, dedicated servers will cost more in both monthly recurring fees and hardware upgrades, mainly because you’re paying for the hardware and not piggybacking off of larger hardware, like in the case of VPS configurations. Costs will also vary based on your decision between managed vs unmanaged dedicated servers.
What are the disadvantages of dedicated servers?
Beyond cost and scalability limitations, dedicated servers present several challenges:
- Higher technical expertise is required for management.
- Longer provisioning times compared to VPS.
- Fixed resource allocation until hardware upgrades.
- Greater responsibility for hardware maintenance.
- More complex disaster recovery planning.
Virtual private server vs dedicated server: summary table
| VPS | Dedicated servers | |
|---|---|---|
| Cost | Moderate and easily adjustable | High |
| Flexibility | Very flexible, enough to meet most business needs | Completely flexible and customizable with the right expertise |
| Performance | Great performance for small to moderately large applications | Maximum performance for any size site or application |
| Scalability | Easily scales up and down with just a few clicks | Easy to scale up to a point, until new hardware needs to be added |
| Security | Very secure, server resources are dedicated and protected | Maximum security, hardware is completely isolated |
| Best use case | Small to moderate sites and businesses that need more than what shared hosting can offer | Large, resource-hungry applications with strict security and compliance requirements |
Is a dedicated server better than VPS?
The answer depends entirely on your specific requirements. Dedicated servers excel when you need:
- Maximum performance for high-traffic websites.
- Complete hardware control for custom configurations.
- Enhanced security for sensitive data handling.
- Compliance with strict regulatory requirements.
However, VPS hosting might be the better choice if you prioritize:
- Cost-effectiveness with room to grow.
- Quick deployment and easy scaling.
- Solid performance without enterprise-level demands.
- Flexibility to adjust resources on demand.
Factors to consider when comparing VPS vs dedicated servers
Whether you should purchase a plan with managed VPS or a dedicated single server for your business depends on your specific needs.
To help you decide between these two attractive options, consider the following:
- Your website’s setup.
- Budget.
- Level of expertise.
- Business growth potential.
- Support requirements.
Your website’s setup
Some website configurations will suit dedicated servers better. For example, blog owners often have vastly different needs to ecommerce store operators, so it’s no surprise that their server needs differ too.
If you own a popular WordPress blog or group of websites, you should choose a dedicated server that’s optimized for WordPress. If you operate an ecommerce website, you may want a server optimized for WooCommerce or Magento.
For complex websites with customized web apps, you’ll have more control to optimize their performance if you use a virtual dedicated server or bare metal server.
Also, if you operate a website with sensitive customer data, a dedicated server might be the best option for safeguarding it against security threats.
Budget
Budget considerations:
- Your website’s setup.
- Budget.
- Level of expertise.
- Business growth potential.
- Support requirements.
Consider total cost of ownership beyond monthly fees:
- Potential downtime costs.
- Setup and migration costs.
- Management requirements (managed vs unmanaged).
- Scaling expenses over time.
Level of expertise
Generally, the more advanced your server option, the higher the expertise needed to reap the benefits. If your company employs a team to optimize your hosting setup, then a dedicated server could be your best choice.
You can also overcome many expertise barriers by opting for fully managed hosting.
Business growth potential
In most cases, a VPS offers plenty of scalability for websites with moderate traffic levels. But while a dedicated server may not seem as easily scalable, it offers the highest growth potential for websites expecting substantial resource needs.
Suppose your company outgrows a single dedicated server. In that case, you can use a server cluster to maximize your website’s performance and continue adding servers to the cluster as needed to meet future growth.
Support requirements
If you consistently rely on top-tier support for your managed shared hosting plan, you may not stand to benefit much from an unmanaged VPS plan with weaker support.
For example, if your VPS isn’t functioning as expected and there’s a long wait for support, a VPS might seem like a downgrade as problems cascade during the wait for support. Choose a managed web host with always-on, tier-free support like Liquid Web to ensure your website stays in good shape.
Is VPS hosting better?
VPS hosting shines in scenarios where:
- You’re outgrowing shared hosting but don’t need dedicated resources.
- Budget flexibility is important.
- Quick scaling is a priority.
- You need root access without dedicated service
The “better” option always aligns with your specific needs.
VPS vs dedicated : How do you choose?
When deciding between VPS vs dedicated hosting, make sure you select a hosting provider that will not only meet your needs today but also be able to accommodate your growth. While it is easy to see that VPS hosting is a cheaper solution, it can get much more expensive for web agencies in the long run.
The hosting solutions laid out in this resource all have their respective benefits and drawbacks to consider when deciding which will work best for you. Your unique needs usually dictate what features and functionality matter most.
Here’s a recap of each hosting environment’s best use cases based on the pros and cons of each:
- VPS Hosting — With lower costs than dedicated hosting, VPS is a middle-of-the-road offering with affordable scaling and excellent performance and security. VPS hosting is an excellent choice for production and development environments, as it can house most websites and applications while still providing great performance.
- Dedicated Hosting — A suitable option with better performance and security than VPS hosting. Dedicated server hosting also has more unrestricted configurability than a VPS — it’s one of the most customizable hosting solutions you’ll find. However, VPS has more in the way of scalability. Dedicated servers are premier hosting solutions and can handle the needs of almost any website or product, especially those involving specific configurations or legacy applications.
Comparing VPS vs dedicated servers
When looking at VPS vs dedicated servers, it can be easy to confuse the two. They behave similarly in that they both provide an isolated set of resources for only one business. This gives you a level of control and customization that you can’t find in other hosting environments.
Where they differ is when it comes to security. Dedicated servers provide greater security because one particular organization has access to an entire physical server environment. On the other hand, with VPS, the physical server acts as a parent, and multiple clients are granted access through virtualization.
This partitioning creates several server instances within the parent server. While these allow isolated access to a certain amount of resources for each user, they are only protected by the server’s hypervisor layering – making them much less secure than being the sole user of an entire physical dedicated server environment.
Choosing the best option for you
As you choose your preferred hosting, remember the adage: You get what you pay for. You need to consider more than just price.
What’s most important to you, control, scalability, flexibility, cost, or security? Your choice will ultimately boil down to what your business needs most to thrive. Brainstorm to decide what would bring your business furthest along. Remember that you want a hosting environment that will support your business now but also allow you to grow into the thriving business you know you will become.
If security is your biggest concern, go with a dedicated environment. If cost and scalability are important to you, a VPS may be your best choice.
Of course, it never hurts to enlist the help of a hosting expert to guide you on your way. Liquid Web’s team of The Most Helpful Humans in Hosting® is available 24/7/365 to do just that.
Alternative options
What is shared hosting?
Shared hosting is a type of web hosting where multiple websites are hosted on a single physical server. Because the server’s resources are divided among all the websites hosted on it, the cost is significantly lower compared to other hosting types. It’s the most beginner-friendly hosting option, making it ideal for small websites, blogs, or businesses with low traffic.
However, the shared nature of the server also means that performance can be impacted if one of the websites experiences a traffic spike or consumes excessive resources. This can lead to slower load times and limited customization options.
What is cloud hosting?
Cloud hosting is a web hosting solution that can be shared or dedicated. It uses a network of virtual servers to host websites and applications, instead of relying on a single VPS or dedicated server. A dedicated cloud environment spreads resources across multiple virtual servers, often located in different data centers around the world.
Both shared and cloud environments involve multiple users sharing pooled resources on a physical server environment. While both environments are the least secure, they still provide enough security for users to feel safe using them.
Get started with your ideal hosting from Liquid Web
The choice of VPS hosting vs dedicated hosting for your business shouldn’t be taken lightly. You’re essentially choosing the backbone of your online presence for a long time to come. It’s critical that you focus on more than just price and thoughtfully weigh the pros and cons of each server environment discussed here today.
You owe it to yourself to browse Liquid Web’s dedicated and VPS products before deciding. We’ll leverage our decades of experience to show you what will work best for you. You’ll also be working with hosting products backed by the best customer service in the industry and a team of experts available whenever you need us.
Discover what the power of VPS and dedicated hosting backed by Liquid Web can do for you.
Click below to learn more or start a chat to talk to one of our VPS hosting experts right now.
Additional resources
VPS: A Beginner’s Guide →
A complete beginner’s guide to virtual private servers
Plesk VPS benefits →
9 key benefits that a Plesk control panel can bring to your VPS server
What is managed VPS hosting? →
Benefits, use cases, and how to decide if it’s right for you
Jason Potter, a veteran of the IT Support field, I have more than a decade of experience in systems administration, web hosting, and cPanel servers. I enjoy writing and providing complicated technical concepts in layman terms. On my free time, I enjoy playing several types video games, automation scripting and just living life with my wife and two kids.