Cloud VPS: Definition and advantages of this Server

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Cloud refers to using internet-based server systems to store and process data, and to run applications, instead of relying on a single, on-premises physical server. In the cloud model, a website or application is not dependent on any single physical server. Instead, resources are allocated across multiple servers linked together in a cluster, thanks to advanced virtualization technology. The servers in the cloud cluster work together as a unified system, allowing flexible resource sharing to ensure high performance and high availability for the service.

2.1 Types of cloud

Cloud can be deployed under several main models:

• Public cloud: Computing resources are shared among multiple customers on the provider’s infrastructure. Many organizations/enterprises share the same public cloud infrastructure, but data is kept separate through multi-tenancy technology—meaning individual virtual machines (VMs) for each customer, running on the same physical system.

Public cloud suits most small and medium-sized businesses due to pay-as-you-go costs and the fact that you don’t have to manage physical infrastructure.

• Private cloud: A cloud system dedicated to a single organization. Businesses can build their own private cloud at their own data center, or rent a provider to deploy it, but resources are not shared with any other party.

Private cloud offers the highest level of control, security, and customization according to business needs, but it comes with higher costs and more complex operations.

2.2 What are the advantages of cloud?

• Flexible scalability: The cloud allows you to increase or decrease resources almost instantly based on demand. You can easily upgrade CPU, RAM, or storage with just a few steps, and additional resources are spread across the server cluster.

This is especially useful when traffic spikes (e.g., during marketing campaigns or e-commerce peak seasons)—you can scale up server power in minutes to prevent overload, and scale down when demand goes down.

• High availability and reliability: Because the system runs on multiple servers, there is no single point of failure. If one physical server fails, the others in the cluster handle the load, so service is not interrupted.

Cloud hosting often includes automatic failover and backup mechanisms, helping to maintain very high uptime. Your website can be accessed anytime, anywhere; if one server is busy or down, another server takes over.

• Optimal performance: Thanks to dynamic load distribution across multiple servers, cloud hosting can handle a large number of users and deliver content faster. Data is not stored on just one machine but can be replicated across many, so user requests are served by whichever server can respond the fastest.

Additionally, with cloud, you always have exactly the right amount of resources you need at each moment (you can adjust based on load), ensuring high performance for large, complex applications. In the long run, the cloud can save costs for businesses that know how to optimize resource usage (although if you consistently use high resource levels, total costs may exceed those of a fixed VPS—see cost comparison below).

• Convenient management: Many cloud services come with powerful management tools and 24/7 technical support from the provider. Users don’t need to worry about hardware maintenance or infrastructure updates—these are handled by the cloud provider. This simplifies management compared to running your own physical server or VPS. Especially with managed cloud hosting services, you have a user-friendly interface to adjust resources and monitor performance easily, instead of delving deeply into the operating system.

2.3 Notes when using cloud

• Data security and legal compliance: Because you store data on the provider’s platform, you need to select a reputable provider with clear security certifications and compliance with data protection standards and regulations such as ISO 27001. VNETWORK is one of the leading companies in Vietnam in this regard.
• Choose the right cloud model: Clearly identify your business needs to select the right model (public, private), ensuring operational efficiency and long-term cost optimization.
• Regular backups and data redundancy: Although the cloud is highly reliable, you should still implement your own backup solutions to minimize the risk of losing important data.
• When should you use cloud? The cloud is particularly suitable if your application/website traffic is unpredictable or expected to grow significantly, requiring quick scalability without service disruption. An interesting detail: 92% of organizations use a multi-cloud strategy (according to Cloudways), illustrating the widespread adoption of cloud in modern business strategies.
• Who should use cloud? Cloud hosting is ideal for businesses of all sizes needing high flexibility. Startups with smaller budgets can begin with smaller, pay-as-you-go cloud packages and scale as they grow. Large corporations and enterprise-level companies favor the cloud for global deployment, serving users in multiple locations, and integrating various services (CDN, backup, big data, AI…). Especially organizations without a dedicated technical server operations team—or those wanting simpler management—benefit from managed cloud hosting. Moreover, if your business has a multi-cloud strategy to ensure redundancy and optimize costs, a cloud environment is clearly a must—statistics show that the vast majority of large organizations (92%, as per Cloudwards) apply a multi-cloud strategy to keep systems running continuously.

Cre: Market.us

According to Market.us, the global community cloud market is projected to reach approximately USD 56.21 billion by 2033, up from USD 5.4 billion in 2023, at a compound annual growth rate (CAGR) of 26.4% from 2024 to 2033.

The shift from VPS to cloud reflects an inevitable evolution in modern technology. Many organizations now prioritize a “cloud-first” approach for building their IT infrastructure. Statistics show over 90% of organizations already use some form of cloud service, while only about 5% plan to move all workloads back on-premises.

This proves the cloud is gradually becoming the new standard; businesses realize migrating to the cloud helps them accelerate service deployment, adapt flexibly to market changes, and drive faster innovation. In the context of digital transformation, the cloud is not just an alternative to VPS but a strategic platform that helps enterprises optimize operations and remain competitive.

A VPS (Virtual Private Server) is a virtual server created by partitioning the resources of a physical server using virtualization technology. Each VPS has its own operating system and environment, operating independently like a smaller physical server.

3.1 Advantages of vps

• High administrative privileges, customizable configuration as desired.
• Stable resource allocation, ensuring more consistent performance than shared hosting.
• Lower cost than a dedicated server yet still powerful and flexible.

3.2 disadvantages of vps

• Limited by hardware: While you can upgrade a VPS plan (e.g., increasing RAM, CPU), the scalability of a VPS is constrained by the physical server’s configuration. If the physical server has already allocated all its resources to existing VPS instances, expanding resources for one VPS can be difficult or require migration to another server.

• In other words, a VPS cannot flexibly scale resources in real time like the cloud.

• Single point of failure risk: All VPSs on a single physical server depend on the stability of that server. If the physical hardware fails (malfunction or power loss), all VPSs on that machine are affected and will go offline until the physical server is restored.

• Technical administration required: Using a VPS requires knowledge of system administration or access to a server admin. You must install, optimize, and update software, as well as configure security and troubleshoot system issues. While VPS grants high control, it also means you bear responsibility for more complex management than standard hosting services.

• Performance depends on fixed configuration: A VPS runs on a single server, so maximum performance depends on the VPS plan’s allocated resources. If your website suddenly experiences a surge in traffic exceeding your VPS’s CPU/RAM capacity, performance will degrade or the VPS could overload and crash. If another VPS on the same physical server is attacked by DDoS or uses excessive resources, it can also affect the others on that server, since they share the same hardware—even though each VPS is separate, one “overloaded” VPS can deplete the physical server’s resources, causing the entire server to slow or crash.

• Who should use a VPS? Suitable for individuals or small to medium businesses that have an in-house system administration team wanting full control of their server. Developers or experienced website administrators often choose VPS so they can configure and optimize as they wish. Businesses with a moderate budget but needing a dedicated server environment (for websites, applications, moderate databases) also benefit from a VPS.

Criteria	Cloud	VPS
Performance	High performance thanks to distributed resources across multiple servers, ensuring fast loading speeds and stable uptime	Depends on a single physical server; performance may drop if resources are insufficient and the site goes offline if the server fails
Pricing	May be higher due to flexible pay-per-use billing	Often more cost-effective with fixed monthly rates for dedicated server resources
Scalability	Very high scalability—can add or reduce resources immediately in response to traffic spikes	Limited scalability—upgrades involve moving to a larger server or adding fixed resources; cannot scale in real time (upgrades often require downtime)
Security	Multiple security layers (firewalls, data encryption) provided by the provider; data is protected across multiple servers, generally offering high safety	A separate environment on one server gives good access control; however, users must configure additional security (e.g., VPN) to prevent cyberattacks
Reliability	Extremely high reliability thanks to redundancy: multiple servers and automated failover. If one server fails, others replace it, so service continues (uptime often ~99.99%)	Reasonably reliable but slightly less than cloud. A VPS depends on one physical server—if it fails, the website is offline until repairs are done (unless you have extra redundancy)
Flexibility	Very flexible: easily adjust configurations (CPU/RAM/Storage) within minutes and access numerous cloud-based services and tools. Pay-as-you-use model can optimize costs when demands fluctuate	Moderately flexible: you have deeper control than shared hosting (freedom to install software, configure the server). Good for users wanting full control, but manual management requires time and technical expertise
Support	Usually includes 24/7 technical support from the provider. Since the cloud infrastructure is largely managed by the provider, users do less server-side troubleshooting	Support level depends on the provider (some offer 24/7, some are limited). VPS requires more self-management, hence more frequent need for support. Ensure your VPS service has quality support when needed
Use cases	Suitable for most businesses, especially those without an in-depth technical team. Cloud hosting is ideal for systems needing easy management, on-demand scalability, and high stability so they can focus on running their business	Suitable for certain specialized needs requiring deep server control or extremely sensitive data (e.g., financial, confidential information) you want kept on a dedicated infrastructure. Also for those with technical expertise seeking a lower cost and deeper customization

Key difference

Cloud uses a cluster of servers, supported by storage, offering unlimited storage, maximum bandwidth, managed load balancing, and no dependence on any specific hardware. VPS is a virtual server on a single physical machine, sharing resources with other VPS instances, which can affect performance if the physical machine is overloaded.

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Sources like Cloudways, SiteGround, and Silvertouch indicate that businesses favor cloud hosting because:

• Scalability: Cloud allows resource expansion on demand, from 4GB RAM to 8GB or more within minutes—ideal for fluctuating traffic. VPS upgrades often require maintenance and can cause downtime.
• High availability: The cloud guarantees 99.99% uptime by distributing data across multiple servers, reducing downtime risk if one server fails. VPS relies on a single physical server—if it fails, the site goes down.
• Flexibility and cost-efficiency: The cloud’s pay-as-you-go model means businesses only pay for the resources they use, lowering costs compared to a VPS, especially when traffic is unpredictable.
• Better security: The cloud spans multiple servers, protected by firewalls and encryption, reducing risks if one customer is hacked. In a VPS, if the shared server has security issues, others may be affected.
• Easy technical support: Cloud hosting typically comes with 24/7 support, reducing the need for advanced technical skills—great for businesses lacking in-house IT, whereas a VPS requires more manual management.

From the above analysis, VNETWORK is confident in meeting customers’ needs with the following advantages:

6.1 SOC (security operation center)

• Modern monitoring technology
• 24/7 global support
• Highly experienced expert team
• Ensures stable operations

6.2 extensive infrastructure

• Servers hosted at Viettel, FPT, VNPT ISPs nationwide
• Over 10 Gbps domestic bandwidth, no data transfer limit
• Over 3 Gbps international bandwidth
• 100% high-quality SSD to ensure 24/7 uptime
• Network switch uplink ++160 Gbps
• L3, L4, and L7 DDoS protection for 7 days

6.3 convenient, fast, and flexible

• Deploy in 30 seconds
• Pay by the hour
• Choose configurations as needed
• Custom backup options per your requirements
• 24/7 technical support
• Especially convenient payment methods (MOMO, PayPal, Bank Transfer)
• Instructions on registering and using the VNETWORK Cloud Platform

Q: Is a VPS the same as cloud hosting? A: No. Cloud hosting and VPS are different hosting infrastructures. Cloud hosting uses distributed resources across multiple servers, whereas VPS uses a single physical server partitioned into separate virtual servers.

Q: Is VPS hosting cheaper than cloud hosting? A: Often, yes. Although VPS and cloud hosting can sometimes have similar pricing, VPS typically offers more budget-friendly plans, especially basic ones. However, cloud hosting provides better scalability and resource management, which can justify its higher costs.

Q: Is cloud hosting better for SEO? A: Yes. Page load speed and uptime are crucial factors affecting SEO rankings. Cloud hosting generally offers better performance on both factors than VPS.

Q: How many websites can I host on a VPS or cloud hosting? A: Both platforms allow hosting as many websites as you want, depending on the resources (storage, bandwidth, CPU) of your hosting plan.

Q: Does VPS cost less than cloud hosting? A: Typically, yes. VPS often has budget-friendly options, particularly for beginners. However, cloud hosting’s advantage in scalability and flexible resource management might justify a higher price.

Q: Does VPS offer better resources than cloud hosting? A: Not necessarily. VPS provides fixed resources from a single physical server, while cloud hosting can dynamically allocate resources from multiple servers. Cloud hosting generally delivers better scalability, flexibility, and performance during traffic surges.

Q: Should I choose VPS or cloud hosting? A: Cloud hosting is more suitable for small and medium businesses or agencies seeking an easily managed, highly scalable solution with continuous uptime and high performance. Meanwhile, VPS is a good option for businesses seeking a more cost-effective solution and wanting more control over their server environment. Evaluate carefully based on your needs.

From the information VNETWORK has provided, it’s clear that cloud hosting outperforms VPS in terms of scalability, reliability, and flexibility, explaining why enterprises are increasingly moving to the cloud—especially given modern technology trends and rapidly changing business demands. If you have any questions about website security, DDoS protection solutions, or data center services, please leave a message, and our experts will assist you.

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