VPS vs VPN

Although virtual private servers (VPS) and virtual private networks (VPN) sound similar, they differ significantly. The two technologies are “virtual” and “private,” but their functions are not the same.

These differences may interest you as someone curious about privacy and safeguarding data. Once you understand how VPSs and VPNs work, you can start using them to your advantage.

Understanding VPNs and VPS

So, what is the difference between a VPN and a VPS, aside from the name?

Virtual private networks (VPNs) are services that encrypt your data at the source (the terminal you’re using) and then reroute it via a network of remote servers. These external servers act as nodes that hide the traffic’s source, preventing anyone from spying on you.

This feature means VPNs help users in two ways:
  1. Prevents tracking and stops third parties from observing the online activities of individuals using them
  2. Allows users to access the internet as it appears across geographies and countries by using servers in different locations

By contrast, a virtual private server (VPS) is a machine hosted on a physical server that provides users with resources for their websites and applications. For example, a VPS company might buy a server room and divide processing power between thousands of customers, each with access to a portion of the physical installation’s resources.

The use of the word “private” in both cases is different. VPNs use the term to indicate “privacy” or freedom from snooping, while VPSs use it to mean “exclusive usage” or access.

The use of the word “virtual” is also different. VPNs focus on secure networking, while VPSs interpret the term as meaning a separate computing environment.

Benefits of VPNs for Security

VPNs offer numerous security benefits for individuals and businesses that install them on their devices. These include the following:

  • Fully encrypted internet traffic to ensure data remains private and secure
  • Protection from data snooping on public Wi-Fi
  • Prevention of hackers and snoopers intercepting and reading sensitive information, like passwords
  • Masking of the user’s IP address, which prevents governments, internet service providers, and advertisers from accessing private information
  • Ability to bypass geo-restrictions on data access, providing the internet without censorship
  • Ability to access content that might be blocked in some regions (e.g., on Netflix)
Advantages of VPS for Performance

Meanwhile, VPSs also offer performance advantages for users. These include:

  • Higher performance compared to shared hosting solutions
  • More consistent website performance, especially for high-traffic websites
  • More options for resource-intensive applications
  • Greater control over the server environment, including software installations and settings calibration
  • The ability to scale resource usage when required with minimal setup costs

VPSs scale performance by allocating dedicated resources such as CPUs, RAM, and storage. Users can decide how much of these they want access to and pay accordingly. Most virtualization services run entire server rooms and divide these according to payment tier or bandwidth requirements. Client companies and individuals can then add more services when required, making VPSs useful for expanding businesses or temporary compute-intensive projects.

Choosing the Right Option: VPN or VPS?

Given the differences between VPNs and VPSs, choosing correctly is essential. A VPN cannot provide the same services as a VPS, and vice versa.

You should choose a VPN if:

  • You want to secure your internet connection and prevent other entities from snooping or spying on you
  • You want to use public networks securely (i.e., you want to work abroad in a coffee shop)
  • You want to access content that is only available abroad, not in your home country

You should choose a VPS if:

  • You want to host a responsive website or application for your customers
  • You want to avoid sharing resources with other businesses at peak times
  • You want dedicated CPU and RAM resources for your projects

Sometimes, you can combine VPNs with VPSs. For example, you could use a VPN to secure your network traffic while using a VPS to manage your website. This approach could amplify existing security systems on the server side. However, it isn’t a common practice.

How VPNs and VPS Differ in Functionality

VPNs and VPSs use virtualization technology, but their function differs in practice.

You can think of VPNs as being tunnel-like. They connect users’ computers on one side and the internet on the other while preventing anyone outside of the connection from seeing where traffic goes. Other people can see the entrance, but unlike a bridge, they can’t see the other side or the exit.

Routing data in this manner enhances privacy significantly. Every time someone attempts to snoop on the traffic going through a VPN, they wind up bumping into a network of servers and IP addresses that communicate privately with the end-user. Following the data transmission through this labyrinth is essentially impossible, which is why VPNs are so common.

On the other hand, VPSs divide servers and then provide virtual versions emulating them. Businesses like these solutions because they can avoid paying for hardware upfront. Such solutions enable them to scale better, paying for more resources where required.

Ultimately, VPSs are built for virtual computing and hosting. Instead of hiding data transmission, they provide resources for applications, websites, and other services.

Best Practices for Using VPNs and VPSs

Unfortunately, using VPNs and VPS services isn’t without risk. While these solutions offer myriad advantages over standard approaches, you must still be careful. 

Here are our best practices for using VPNs:

  1. Choose A Reputable Provider

We recommend choosing a reputable provider when setting up a VPN. You need a service that ensures strict “no logs” privacy and doesn’t track activities. 

This feature is critical for VPNs because data privacy is the primary reason for using these services. Logging undermines the entire reason for installing them.

  1. Ensure Strong Encryption

We also suggest finding providers that offer strong encryption protocols. These scramble your data before transmission, making it impossible for third parties to intercept and decode it. 

VPNs and some VPSs provide this as standard, but always check first. High-level AES-256 encryption is the minimum, with further mitigations necessary if you are transmitting highly sensitive data.

  1. Look For Kill Switch Features

You also want VPNs with “kill switches.” These cut your internet connection if you lose access to VPN servers, preventing data leaks. 

This feature can be annoying in areas where the internet connection drops regularly. However, it guarantees an even higher level of protection overall, which may be helpful in some settings. 

  1. Ensure You Update Your VPN Software

Finally, ensure you enable VPN software updates from your provider. These can patch vulnerabilities and prevent hackers from exploiting the app itself. 

For VPSs, we recommend the following best practices: 

  1. Regularly Update Software

First, update any software or applications you install on third-party servers. Ensure that the latest versions with proper patches are available. 

  1. Implement Firewalls

Also, ensure the VPS has suitable firewalls and detection systems to monitor intrusions. Services don’t offer the same level of protection as VPNs (unless they are behind one). 

  1. Perform Data Backups

Lastly, ensure you back up any data you store on a VPS. If servers go down or there is a breach, you want systems you can fall back on. 

Top Features to Look for in VPNs and VPS

Because VPNs and VPSs are so different, what you look for in them should also be specific. Unlike comparable solutions, they have vastly different features. 

For example, when searching for a VPN, you should prioritize the following:

  • AES-256 encryption to prevent data interception during transmission
  • Numerous server locations to allow you to access the internet anywhere in the world, including the USA, UK, Taiwan, Australia, India, South Africa, South American countries, and independent island nations like Iceland
  • Fast connection speeds that reduce lag and server delays (VPNs can make internet access slower in some cases)
  • Clear no-logs policies to prevent data snooping
  • Support for cross-platform devices

You can usually find most of this information on the VPN’s website. It should provide details on issues like average connection speed and server locations. However, you may need to read the fine print for details on no-logs policies and encryption levels. 

Meanwhile, for VPSs, you want:

  • High levels of uptime (preferably service “guarantees”)
  • Reliable performance evidence in user reviews
  • Exceptional customer support
  • High-quality virtualization technologies like OpenVZ or KVM
  • Compatible and efficient services

Services can vary wildly on these fronts, so be careful. Many VPSs have skeletal customer support and won’t always provide the scalability required for rapidly expanding projects. 

Conclusion: Finding the Best Solution for You

So, what have we learned here?

Essentially, we’ve discovered that VPNs and VPSs are two distinct services for different purposes. As such, which you choose really depends on your needs. 

If you run a business and need a scalable server solution for your apps or website, getting a VPS is likely the right solution. Meanwhile, if you need privacy, VPNs might be the best option. The latter allows you to surf the internet without geographical solutions or people snooping on you. 

For fast, secure, and unlimited internet freedom, use VPNPro.

Published On: May 25, 2025

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