How To Decide: VPS or Dedicated Server

Latest trends are showing that shared hosting no longer satisfies the requirements of small to medium businesses. Companies are looking for faster and more reliable hosting plans and are often faced with the dilemma: a Virtual Private Server (VPS) or a Dedicated Server.

Although both hosting approaches are capable of addressing most business challenges there are some differences and you should take them into consideration when deciding on the right hosting for your business.

Let us first define these two hosting types:

VPS shares a single server among many users. Each virtual partition acts as a different server. There are many virtualization technologies available to create VPS (Microsoft Hyper-V, Virtuozzo, i.e…) When purchasing a VPS, you get virtualized resources: RAM, CPU, and Disk.

Your server has its own operating system and you are free to make all configuration changes as you see fit. VPS allows you to have full control over your servers and associated applications.

Your VPS will not be affected by the performance of other virtual servers.

But when any maintenance on a main server is performed, all the VPSs of that server may face down time. This is defined by your SLA (which usually guarantees 99.9% uptime)

●Websites with moderate to high traffic.

●Dynamic sites with lots of images or scripts.

●24/7 Ecommerce website and Online Business Applications/Software’s…

Dedicated Servers are the fastest and most powerful hosting types. A dedicated server is dedicated exclusively to one client. Thus you will not have to share any resources with any other user.  RAM, HDD, CPU and network access are all 100% dedicated to a single server.

These dedicated servers are able to easily manage your website’s traffic, multiple domains, images with high resolution and videos, and you can also customize the hardware setup and the software to meet the exact needs of your business.

●Large websites with very high traffic.

●ERP /CRM Applications.

●Complex Online Applications.

●Hosting Companies.

Table below illustrates main differences



Dedicated Server


Scheduled by Hosting Provider

Scheduled by Server Owner


Defined by Hosting Provider

Defined by Server Owner





Almost instant

Requires time


Simple and relatively fast

Requires time

There are some similarities shared by VPS and Dedicated server. With both hosting types, the user gets dedicated IP address and can configure his own DNS Server, Mail Server, Database Server etc.

If you still have doubts or are unsure which hosting plan is best suited for your business get in touch with averthost Team and take advantage of the experience that our engineers have gathered providing hosting solutions to Indian businesses for more than a decade. 

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