VPS technology is seen as a middle step between shared and dedicated hosting. In fact, there are many advantages to its underlying Virtual Environment (VE) technology that make it superior to traditional dedicated server solutions for most applications. One key advantage is scalability. A vps server can be upgraded dynamically, with virtually no downtime. For example, when it is time to upgrade your vps to its own dedicated physical host, Hosting Provider can 'drag-and-drop' your entire hosting environment from one server to another. Compared to the difficult and time-consuming process of transferring domains from a traditional dedicated server to another, vps technology can significantly lower your cost of ownership. Another advantage of VE technology is the ease and quality of its backups and restores. When a hosting environment is wrapped in VE technology it's entire file system can be 'mirrored' and fully restored to the same or even a different physical host. In the case of hardware failure, your entire hosting environment can be restored to a standby server within minutes.