The importance of a dedicated IP address – advantages and disadvantages at a glance!
What is a dedicated IP address?
A dedicated IP address is a unique address. It is assigned to only one sender. The VPN provider assigns you a unique VPN IP address list. This IP is for you only. In our table we have compared the advantages and disadvantages.
What is a shared IP?
With a shared IP, different users share the same IP address. The IP is used by multiple domains. A shared IP is common with most WordPress hosting providers. This assumes that the server is powerful enough. This brings advantages as well as disadvantages. One thing is for sure: it makes you more anonymous. In rare cases, you may find yourself blacklisted.
Is a dedicated IP automatically the better choice?
As with any purchase decision, you have to weigh up for yourself what the goal behind it is. In the private network, a dedicated IP is not necessary in most cases. However, it is advantageous for building a company network. Major disadvantages are lack of security or data protection and unnecessary extra costs. We now present the three advantages:
- Easy to work from home or abroad. The corporate network can also be used via a dedicated or static IP. One can securely access remote company systems or the private server. Via FTP you can access files from the server.
- No chance for blacklists. You never know what other users of the same IP address are up to. Therefore, shared IPs may appear in blacklists. You will then be blocked from certain websites. Payment transactions are not always seamless either. Repeated CAPTCHA authentication may occur. Dedicated IPs enjoy higher trustworthiness and you have full control. With a shared IP, you are more likely to end up on a blacklist.
- Use e-mails faster and without problems. Every IP address first builds up a reputation with the provider. This reputation refers to open rates, spam, etc. With a dedicated IP, you build your own reputation. With a shared IP you share the reputation with other domains.
Depending on the reputation of the “neighborhood”, emails may end up in the spam folder. With dedicated IPs, the transmission speed is high, and so is the deliverability rate. The dedicated IP makes sense if you send more than 100,000 emails a year.
Dedicated IP: all advantages and disadvantages at a glance!
| Dedicated IP | Shared IP | |
|---|---|---|
| Costs | Exclusive use, but higher costs | Cheaper costs due to shared use |
| Reputation | Full reputation control | Adequate to good "neighbor effect": use of online services more difficult in negative neighborhoods (Authentication necessary for online banking, streaming, etc.) |
| Speed | Very good partly better for streaming and e-mailing Plus: bypass ISP throttling and high-speed streaming | Very good, only specific drawbacks for example in streaming |
| E-mail dispatch | Very good Suitable for high email volume & commercial use, as reputation and emails are less likely to end up in the spam folder. | Good to very good for smaller e-mail volume and private use Disadvantages: only with "bad neighbor effect" (blacklisting) |
| Privacy | Online tracking is easier unless you rely on powerful encryption Disadvantage: vulnerable to DDoS attacks | Increased privacy through shared use |
Conclusion
Dedicated IP addresses are helpful if you want full control. You know exactly what is happening. They are not blocked in corporate networks. You probably netflix at a faster speed compared to shared IPs. In terms of data protection, a dedicated IP is not the right choice. It is directly attributable to you.
In fact, the majority of VPN providers do not offer dedicated IPs. We do not see any “real” added value for a dedicated IP. Robust servers are shared and designed specifically for different domains. The costs of a shared IP are significantly lower and you surf anonymously as far as possible.
