Connect to the Internet using Network Address Translation (private subnets) – Private subnets can be used for instances that you do not want to be directly addressable from the Internet. Instances in a private subnet can access the Internet without exposing their private IP address by routing their traffic through a Network Address Translation (NAT) gateway in a public subnet.
With unmanaged VPS hosting, the cost is also much cheaper. It is not uncommon to find $10 unmanaged VPS plans because the web host does not have to pay for a cPanel or Plesk license and are able to minimize costs. Also, since the web host does not provide software and account support for an unmanaged VPS, the host also saves money on customer support. In the end, you'll have VPS hosting that is typically $20-30 cheaper than a managed VPS solution.

You can create a VPC where instances in one subnet, such as web servers, communicate with the Internet while instances in another subnet, such as application servers, communicate with databases on your corporate network. An IPsec VPN connection between your VPC and your corporate network helps secure all communication between the application servers in the cloud and databases in your data center. Web servers and application servers in your VPC can leverage Amazon EC2 elasticity and Auto Scaling features to grow and shrink as needed. You can create a VPC to support this use case by selecting "VPC with Public and Private Subnets and Hardware VPN Access" in the Amazon VPC console wizard.
If you want to customize your Web hosting server or need more technical flexibility than shared hosting, but the price tag of a dedicated server is prohibitive, then a VPS can be a brilliant option. You get full root-level access to install and delete software, set permissions, create accounts and determine your customized server environment – but because you are still sharing hardware you don't have to be concerned about the physical server maintenance and security.
In the world of web hosting, there are many options for how to manage the computers that run a website, and it can be difficult to figure out what might be best for you. Since enterprise websites require the full resources of a server (or multiple servers) to ensure optimal performance for the site’s users, it’s important to make sure the best hosting option is chosen. When deciding upon those options, the choice often comes down to one of two possible approaches: dedicated or virtual hosting. Should you use your own physical server dedicated solely to you, or should you use a virtual server, which uses software to emulate a physical server on a virtual host? Let’s look at the pros and cons of each option:
The force driving server virtualization is similar to that which led to the development of time-sharing and multiprogramming in the past. Although the resources are still shared, as under the time-sharing model, virtualization provides a higher level of security, dependent on the type of virtualization used, as the individual virtual servers are mostly isolated from each other and may run their own full-fledged operating system which can be independently rebooted as a virtual instance.
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