Shared hosting and VPS hosting are 2 different types of web hosting that offer distinct infrastructure and capabilities. Shared hosting is an affordable setup where multiple websites share a single server. VPS hosting uses virtualization to provide dedicated resources within a shared physical server, offering enhanced performance and customization.
Shared hosting is more cost effective and suits smaller budgets. VPS hosting offers higher performance. Shared hosting offers better user-friendliness but is less flexible than VPS hosting. VPS hosting requires more hands-on maintenance but offers better security and scalability.
Cost, performance, and user-friendliness are the 3 areas where the differences between shared and VPS hosting are most obvious. These distinctions help define which hosting type best fits your website or web application’s requirements. Choose shared hosting if you have a small, low-traffic website and need affordable, beginner-friendly hosting. Choose VPS hosting if your website requires dedicated resources, advanced customization, or better security.

What is Shared Hosting?
Shared hosting is a type of web hosting that splits a server’s resources (CPU, storage, RAM) between multiple websites. Users get a pre-configured environment and the web host provider remains responsible for server maintenance and updates. The core advantages of shared hosting are its affordability, simplicity, and low maintenance.
What is VPS Hosting?
VPS hosting is a type of web hosting that partitions a physical server into virtual servers that each have their own dedicated resources. It works by using virtualization software to ensure each VPS operates independently. Providers maintain hardware, while users manage their virtual servers.The core advantages of VPS hosting are high performance, full control, and scalability.
What is the Difference Between Shared and VPS Hosting?
The difference between shared hosting and VPS hosting refers to the distinct characteristics that separate these hosting types for different use cases.
Shared hosting has a lower cost because it splits a server’s resources among multiple users. VPS hosting has higher performance due to its provision of dedicated resources. Shared hosting is more user-friendly with pre-configured environments. However, this also limits its customizability and VPS hosting is therefore the more flexible hosting solution. VPS hosting requires more maintenance but is also more secure and scalable than shared hosting.
Cost
Shared hosting costs significantly less than VPS hosting, with entry-level shared plans costing between RM9 – RM68/month. It’s more affordable since server resources are shared amongst users. VPS hosting costs more and ranges between RM18 – RM360/month. Users pay additional fees for control panels or licenses in unmanaged plans. VPS hosting’s higher price reflects its exclusive resources and capabilities.
Performance
Shared hosting experiences inconsistent performance as websites share limited server resources. One high-traffic site that overuses its resources affects the performance of others. VPS hosting’s setup ensures consistent performance because it allocates dedicated resources. Websites hosted on VPS benefit from faster load times and better uptime since any surges in traffic do not affect neighboring servers.
User-Friendliness
Shared hosting is easier to set up and manage than VPS hosting. Hosting providers handle maintenance and offer intuitive control panels, making it perfect for beginners. VPS hosting requires technical knowledge to configure and maintain, especially unmanaged VPS plans. Paying more money for a managed VPS plan reduces technical complexity.
Flexibility
Shared hosting is less flexible than VPS hosting. It offers limited customization since users do not have the option of root access. In contrast, VPS hosting provides extensive control over the operating system, server software, and resource allocation. Users or VPS hosting therefore are able to customize their hosting environment to meet specific needs.
Maintenance
Shared hosting requires much less maintenance since the web hosting provider handles updates and troubleshooting. VPS hosting demands more user effort, particularly for unmanaged plans in which users manage their own updates, security patches, and backups. Managed VPS plans simplify this with provider support.
Security
Shared hosting comes with higher security risks because websites share the same environment. This means it’s possible for one compromised site to endanger others. VPS hosting offers greater security by isolating users’ environments. This reduces vulnerabilities and ensures stronger safeguards against threats like DDoS attacks.
Scalability
Shared hosting is less scalable. Upgrading resources requires moving to higher plans or an alternative hosting type. In contrast, VPS hosting scales easily by allowing users to upgrade resources as your traffic grows. This makes VPS hosting more suitable for fast-expanding websites.
How Do I Choose Between Shared and VPS Hosting?
Choose between shared and VPS hosting by evaluating your site’s traffic, budget, and customizability needs. Choose shared hosting if you have a small, low-traffic website and need affordable, beginner-friendly hosting. Choose VPS hosting if your website requires dedicated resources, advanced customization, or better security. Whichever your choice, ensure you opt for a good hosting provider that provides reliable plans of that web hosting type.
What Makes a Good Shared Hosting Provider?
Good shared hosting providers offer reliable generous SSD storage, user-friendly control panels, and transparent renewal fees. Get started by checking our roundup of the best shared hosting providers that meet this criteria.
What Makes a Good VPS Hosting Provider?
A good VPS provider offers generous vCPU and RAM, data center locations near your target audience, and compatibility with your chosen operating system. Get started by checking our roundup of the best VPS hosting providers that meet this criteria.
When Do I Switch from Shared to VPS Hosting?
Switch from shared to VPS hosting when your website outgrows shared resources and needs better performance and security. 2 indicators that it is time to switch include frequent downtime and slow page loading. Both are often caused by exceeding shared hosting limits.
Shared Hosting vs VPS Hosting: Difference Summary
The difference between shared and VPS hosting is most significant in the realms of cost, performance and user-friendliness. This is due to the difference in how server resources are allocated and managed. The differences between shared and VPS hosting are presented in the table below.
Aspect | Shared Hosting | VPS Hosting |
---|---|---|
Cost | Affordable, shared costs | Higher costs, reflects dedicated resources |
Performance | Inconsistent speed and uptime due to shared resources | Reliable performance due to dedicated resources |
Flexibility | Limited customization with no root access | Full control with root access |
Security | Increased security risks from shared environment | Enhanced isolation for better security |
Scalability | Limited scalability, requires plan upgrade | Easy resource upgrades within the same plan |
User Base | Beginners and small websites | Growing sites and resource-intensive projects |
Maintenance | Managed by the provider | Complex maintenance required on unmanaged VPS plan |
Use Case | Low-traffic websites | Resource-heavy, high-growth websites |
Shared hosting is cheaper and more beginner friendly but offers lower performance. VPS comes at a higher price point and requires greater technical expertise but offers superior power, resources and flexibility. Shared hosting suits beginners with simple websites, while VPS hosting is ideal for growing or demanding projects needing reliable performance and custom configurations.