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Many folks think about VPS just they do for Shared Hosting. And a very few ask questions about the virtualization technique used to create the virtual instance. Fellow hosts know that there is a big difference between virtualization technologies and that the performance of the VM's/VPS depends very much of the virtualization approach.
One more thing. I don't think that we should be discussing pricing about VPS under $10 - $12 per month and even those would cover the cost of a very basic, low resource virtual instance.
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