VPS Virtual Private Server Hosting
Virtual private servers are between shared hosting and dedicated server hosting. They exists as virtual machines, created by a software, on a dedicated server. These servers are limited by resources (CPU speed, RAM memory and/or disc space), and depending on the type there are VPS that do not interact directly with the hardware (fully virtualized environment), VPS that directly interact with the hardware (where the parent software maintains resource allocation (paravirtualized) – there need to be CPU support for these type of servers, or VPS that can be combination of both. With a VPS you have all the benefits of a dedicated server, for a lot cheaper price. Root access where you can install programs like ffmpeg or special software that you need for your web services or high traffic sites. Some hosts offer managed VPS hosting solutions: they update software for you, configure specific tasks, setup firewall and other, but this is a little more expensive than the standard unmanaged hosting. There are VPS hosting solutions that come with Virtuozzo power panel for simpler administration, and cPanel for web hosting administration. I think that combination of Virtouzzo, cPanel and managed hosting is the best because you get the latest software updates installed, and panels for easy administration of the server and web hosting aspects. The most popular VPS hosting providers are: Inmotion, HostGator, Lunarpages, Ixwebhosting. If you are up to VPS hosting you should check them out.