Shared Hosting is a shared server. It is similar to a shared building, in which users share the same space and the same IP address. Shared Hosting is the entry-level of hosting solution and is limited in many ways. The limitation is set to assure the good functioning of the server and noisy users (those that use a lot of resources) are warned, blocked, or have their accounts terminated. VPS on the hand is private, it gives you a unique IP and a separate virtual space. VPS is more powerful than Shared Hosting. It’s suitable for websites that receive a lot of visitors as well as applications that require more CPU, RAM, and Network Bandwidth.