Next, we want to understand what a virtual private server is and how it works. The VPS is a private, dedicated hosting environment that is on a host, parent server, or a cluster of servers through the use of virtualization. We implement a hypervisor or virtual machine manager (computer software, firmware, or hardware that creates and runs virtual machines) to run virtual machines on a host/parent server. Each virtual machine is called a guest instance or child instance, relating a guest to a host and a child to a parent.
Cloud hosting is an alternative to hosting websites on single servers (either dedicated or shared servers) and can be considered as an extension of the concept of clustered hosting where websites are hosted on multiple servers. With cloud hosting, however, the network of servers that are used is vast and often pulled from different data centres in different locations.