There are a few downsides to shared hosting, though, mostly because you’re sharing. For instance, if someone else on your shared server has a huge spike in traffic, that could affect your website’s performance. However, if you’re just getting your website off the ground and don’t have huge traffic volume, shared hosting is a great way to get online!
The most obvious and popular reason for a VPS is to run a single website, or multiple websites. However, you can use them for pretty much anything that requires access to the internet – such as a web application like Nextcloud to run your own Dropbox alternative – or to create your own virtual private network to better secure the internet connection of your PCs and mobile devices.