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Best Virtual Private Cloud (VPC) Software 2025

What is a Virtual Private Cloud? A Virtual Private Cloud is an isolated and secure pool of resources, offered to organizational groups, that is hosted on a public cloud infrastructure. This can allow an enterprise or organization to have full access to the resources and benefit from the savings of using a public cloud, all while maintaining data isolation through private cloud computing. One way to visualize this multi-tenancy cloud is to juxtapose it with a single apartment unit within an ...

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Learn More about Virtual Private Cloud (VPC) Software

What is a Virtual Private Cloud?

A Virtual Private Cloud is an isolated and secure pool of resources, offered to organizational groups, that is hosted on a public cloud infrastructure. This can allow an enterprise or organization to have full access to the resources and benefit from the savings of using a public cloud, all while maintaining data isolation through private cloud computing. One way to visualize this multi-tenancy cloud is to juxtapose it with a single apartment unit within an apartment complex.

Due to the nature of a VPC, it can be used on varying organizational sizes. For small companies, it is useful in instances where there is a completely remote workforce, whereas larger corporations can use a VPC to connect other VPCs during cross-functional collaboration.

Virtual Private Cloud Features & Capabilities

Virtual Private Clouds should have most or all of the following features:

  • Virtual Server Instances (VSIs) with established computing power and memory
  • Hybrid Cloud Deployment to run VPC on either a public cloud or on-premise infrastructure
  • Security at Subnet or Instance level
  • Block storage
  • Ability to span multiple regions and availability zones
  • Creation of multiple subnets
  • Communication in-network via internal iPv4 addresses
  • VPC Network Peering
  • Firewall rules to control traffic to and from virtual machines

VPC Comparison

Consider these factors when comparing virtual private clouds:

  • Scalability- The benefit to a VPC is that one can leverage the resources of a public cloud. This offers advantages in agility as it enables you to control the size of your network and resources. Consider the cost to scale and available resources offered by your VPC provider. The computing, storage, and networking architecture in the VPC package offered will help you determine just how much you customize it to best fit your business or professional needs.
  • Additional Customizations- Consider which customizations are most impactful for your use case. Some VPC providers may offer Network Address Translation (NAT) to match private IP addresses to public IP addresses, and/or BGP route configuration when connecting your VPC with other infrastructure.
  • Cloud Resources or Logical Instances- Consider whether you want to be able to distribute cloud resources into your isolated network. When selecting your VPC provider, take note of the level of computing power offered and the available storage options. Some provide a block storage quota for each account, which can be configurable. Also consider the networking capabilities which play a role in being able to allow or restrict access to resources such as public gateways, load balancers, and routers.

Pricing Information

Some VPC providers may offer free services along with their paid offerings. Many large VPC providers, such as AWS, offer free VPC creation with charges being associated with additional customizations, like your “NAT gateway-hour” (the amount of time your NAT is provisioned and available). For more specific information refer to the individual VPC’s website.

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Virtual Private Cloud (VPC) FAQs

What are Virtual Private Clouds (VPCs)?

A Virtual Private Cloud is an isolated and secure private cloud that is hosted on a public cloud infrastructure. The resources are customizable and shared within that secure space, separate from different groups using the same public cloud.

What is the difference between a Virtual Private Cloud and a Private Cloud?

A Virtual Private Cloud is a public cloud offering, i.e., exists on and is presented by a public cloud, with the benefits of isolated and private data storage and communication for those on that network. On the other hand, a private cloud is hosted, normally on-premise or online, and serves only one organization (single-tenancy). There are no pooled resources.

Can VPCs communicate with each other?

Yes. This may be done via a VPC peering connection. It allows traffic to be routed between two VPCs using private iPv4 or iPv6 addresses. Also, instances in either of the two VPCs can communicate as long as they are on the same network.