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Virtual servers, VPS hosting, cloud VPS and VDS: what’s the difference?

By ServerPoint's Team ·

Virtual servers, VPS hosting, cloud VPS and VDS explained

If you’ve been looking at web hosting or VPS hosting, you’ve probably seen a bunch of terms that sound alike: virtual server, VPS, cloud VPS, VDS. Here’s the short version: they all refer to the same kind of thing. We’ll walk through what that means so you’re not left guessing.

So what’s a virtual server?

A virtual server (or virtual machine) is an operating system running on a physical machine that’s been split up by software. That software makes each OS think it has its own server – with its own CPU, RAM and disk – even though it’s sharing one physical box with others. That’s the same idea whether a provider calls it a VPS (Virtual Private Server), cloud VPS, or VDS (virtual dedicated server). Different names, same underlying tech.

What about “the cloud”?

“The cloud” is basically “stuff that runs on the internet instead of on your own machine.” You’ve been using it for years: webmail (like Gmail or the old Hotmail), Dropbox, or online accounting tools. Your data and apps live on servers in data centers somewhere else; you just open a browser or an app to use them. So when we talk about cloud hosting or cloud VPS, we mean VPS hosting or virtual server hosting that you use over the internet, often with the ability to scale or pay by the hour.

How did we get here?

Years ago, if you needed a server, you bought a physical box and put it in a data center (or a colo). Companies like ServerPoint started out offering dedicated server hosting – a whole machine just for you. Then server virtualization took off: one physical server could run many virtual servers at once (Linux, Windows, or both). That made it possible to offer VPS hosting at a lower cost – you get a virtual server with your own OS and resources, without paying for a full dedicated server.

The machine that runs the virtualization software is often called a hypervisor. At ServerPoint we run hundreds of hypervisors; when you order a virtual server from us, we spin one up for you on that pool. You get a VPS you can use for web hosting, apps, or whatever you need – Linux or Windows.

Which term should you use?

Virtual server and virtual machine are the most accurate. VPS and VPS hosting are what most web hosting and infrastructure providers use, so that’s the term you’ll see most often. Cloud VPS usually means the same thing, with an emphasis on flexibility: you can pick CPU, RAM and disk, and often pay by the hour and scale up or down. VDS (virtual dedicated server) is another label for the same product.

So when you’re comparing VPS hosting or cloud hosting offers, don’t worry if one site says “virtual server” and another says “cloud VPS” – you’re comparing the same type of product. If you want to try one, you can deploy a VPS at ServerPoint and see how it fits your project.