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I have tried reading several resources on the internet about cloud computing and VPS but can not see the difference of it. Can anyone explain what is the difference between cloud computing and VPS? IT seems they are both the same as you need to use a virtual machine.

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up vote 4 down vote accepted

"Cloud" is a marketing term. The actual implementation is what really matters. If you can get detailed info on the architecture of the service provider's cloud you will be able to see who is simply selling you a VPS (such as rackspacecloud) and who is selling you a different implementation that might include failover capabilities as well as other features.

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"Cloud" normally means that there is some sort of API for creating on-demand instances for increased usage. In all practical purposes a "cloud" is a software interface for a lot of VPS instances. –  Lamar B Dec 9 '11 at 8:08
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Basically, the difference is that with VPS the virtual machine runs on just one physical machine, while with cloud-based hosting the virtual machine runs on a number of different physical machines, maybe even more than one at the same time.

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A VM running on more than one host at the same time? –  Massimo Apr 8 '10 at 11:56
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