Understanding Network Latency Differences in Our Infrastructure

Network latency is the delay in data transmission from one point to another. It’s measured in milliseconds (ms). It affects how fast the data travels across the internet.

Example: Imagine you live in a village, and you need to send a message or an item to someone. The time it takes depends on how far the person is and what route you take. This is just like data moving between servers in a cloud network.

Network Latency Comparison: VPS vs. VDS

Both VPS (Virtual Private Server) and VDS (Virtual Dedicated Server) are types of virtualized hosting, but they differ in how resources are allocated, which impacts network latency.

  • Higher latency occurs because multiple users share CPU, RAM, and bandwidth.
  • In a VPS environment, latency is influenced by shared resources, virtualization type, network quality, and server location.
  • Performance may be fluctuate depending on other users on the same host machine.
  • Network overload can occur if the provider oversubscribes resources, means If another VPS on the same node is running a heavy workload (e.g., video streaming, data-intensive applications), your VPS might experience increased network latency.
  • Typical latency: 5ms–50ms within the same region, but can spike under heavy load.
  • Use Case : General hosting, small apps

How to Reduce Impact?

Choose a provider that offers fair-share CPU policies or dedicated CPU VPS.

Opt for NVMe storage (faster disk I/O means quicker processing of network requests).

 1. Factors Affecting Latency in VPS

     Virtualization Type

VPS servers run on a hypervisor that virtualizes resources for multiple users.        The type of virtualization used impacts latency:

Virtualization TypeImpact on Latency
KVM (Kernel-based Virtual Machine)Lower latency, hardware-level virtualization (20ms – 40ms)
XCP-NGHigher latency due to shared kernel  (10ms – 50ms, spikes possible)
VMware ESXi  Stable latency, but overhead can occur  Stable latency (20ms – 35ms)
Hyper-VGood balance between latency and resource management  Moderate latency (00ms – 35ms)

A VPS using KVM or VMware will generally have lower latency compared to XCP-NG, which shares the host’s kernel.

Network Quality & Bandwidth Allocation:

VPS providers typically place multiple virtual machines on a single host, sharing the same network interface. The bandwidth and routing quality of the provider affects your VPS latency.

2. Latency in VDS (Virtual Dedicated Server)

  • More stable and lower latency because resources (CPU, RAM, bandwidth) are dedicated.
  • Better network performance compared to VPS because it uses dedicated resources.
  • No “Loud neighbor” effect that could slow down network speed.
  • Typical latency: 20ms–35ms within the same region, more stable than VPS.
  • Use Case: High-performance apps like Trading, low-latency needs

 The advantage of a VDS over a VPS is that all resources (CPU, RAM, disk, and bandwidth) are fully dedicated to a single Renter. This removes “Loud neighbor” issues, where other users’ activities can affect performance.

1.Network Bandwidth & Connection Speed:

  The network interface card (NIC) and bandwidth allocation impact latency and throughput.

2.Network Interface Comparison:

Network Type    Speed Latency Impact
1Gbps Ethernet  StandardLatency is moderate
10Gbps Ethernet  Fast  Lower latency under heavy load

A VDS with a 10Gbps network has lower latency than a 1Gbps VPS, especially under high traffic loads.

Virtualization Type Impact on Latency
VirtualizationLatency Impact
Bare-metal VDS (e.g., KVM, VMware, Hyper-V)Lowest latency (15ms-25ms)

Recommendation: Choose KVM or bare-metal VDS for the lowest latency.

How to Check Network Performance?

1 . Test latency to your VPS /VDS:

ping -c 5 <vps-ip>

2 . Test latency from your VPS/VDS to external services:

      ping -c 5 8.8.8.8

      traceroute 8.8.8.8

3 . Test network speed:

       speedtest-cli

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