A Virtual Private Server (VPS) is a virtual machine emulated on a dedicated host with the help of a hypervisor like KVM. In Cloud VPS environments, more than one VPS sits on a single dedicated host. And all the resources like RAM, CPU, and storage are shared among multiple VPS. Sometimes, this causes resource congestion and will lead to a bad performance of websites and applications. An SDS is also a Virtual Machines. But the difference is, only one virtual machine sits on a dedicated host. So, all the resources are dedicatedly available to that one single VM. That is why an SDS is highly reliable and ensures good performance.