VPS vs VPN hosting. Which is better?

Making technical business decisions can be very difficult, and many people get confused. It is particularly true with VPN and VPS hosting. While they sound alike, these services are completely different. With both of them you can control aspects of company’s work effectively, but they are not equally suitable for your business.

VPS: Virtual Private Server

VPS hosting is a great hosting option for businesses that need better flexibility and features of a dedicated server without overpaying for hosting. Using this server you can host files, run different programs for their management and host websites. VPS hosting is used like shared hosting, because several accounts are used on one server. Every account is placed on a virtual segment of the server and act independently giving businesses more control over server environment together with many other advantages. VPS hosting is perfect for small and medium businesses that need better security and performance for a relatively low cost.

Companies usually switch to VPS when they need a stronger solution than shared server. With VPS, you can install anything on the server and have SSH access to manage the system with the help of command line. However, VPS is a part of a bigger server, so you don’t own the hardware and get a part of resources. Most often, you fairly get your purchased amount of resources, but sometimes they are poorly managed, and you can have less. Besides, VPS can be slowed down, if another user on the server runs programs that need resources outside the VPS.

VPN: Virtual Private Network

VPN is a networking option that connects a centralized business office with local or satellite offices over the Net, but keeps information safe and secure (there is no public access to it). Virtual connection is private, and data can be exchanged very effectively: you won’t have to invest into expensive equipment or build a real private network. With such solution, you will be able to share data over different distances using it like a desktop sharing program.

A Virtual Private Network allows for browsing the Net without disclosing your IT address (anonymously). The computer will connect to a remote PC with encrypted connection, then the remote computer will browse the web, pull user’s emails with his own IP. This process is totally transparent for the end user, it only adds a few milliseconds of latency because of encryption. This is a better option than proxy, because you are always protected, no matter what the port or the application is.

Just like with VPS, this plan is suitable for small and medium businesses and serves as the golden middle between the limits of shared server and the price of dedicated server. Together with it, VPN provides extra security without many expenses. This is a more cost effective option than investing into server equipment and efforts to create and setup a network.

Which one is suitable for me?

It is not so hard to decide upon VPS vs VPN. If you have to share private information across the Net with other people and offices comprising the organization, VPN will be the right choice. It will encrypt the information and protect it from hackers. If you develop a website and need more resources than provided by shared hosting environment, then you will need to opt for a VPS hosting plan.

VPS will provide you with the instruments that privately control the public websites regardless of other users hosted there, and VPN will control private transactions from worker to worker, office to office. Depending on business size, structure and demands you can need both VPN and VPS.