Dedicated vs Shared IP Address
What Shared and Dedicated IP Addresses Mean
Dedicated IP vs shared IP describes who uses an address. A dedicated IP address is reserved for a single website or account, while a shared IP address is used by many websites on the same server. In shared hosting, the default is that all sites on a server share its address, and a dedicated IP is usually an add-on.
Sharing works because web servers can tell sites apart by the domain name in each request. When a browser asks for a site, it sends the host name in the HTTP request, and the server uses it to pick the correct site. This is called name-based virtual hosting. Because of it, many websites can run on a single IP address without visitors noticing anything.
When a Dedicated IP Is Useful
A dedicated address is useful when a service needs its own identity on the network. Common cases include:
- Software or a service that must be reached by IP address rather than by name.
- Allowlists, where a partner or payment system accepts traffic only from specific addresses.
- Remote access to a server or control panel that is limited to one address.
- Setups that publish a reverse DNS name for the address, covered in reverse DNS and PTR records.
A dedicated address does not make a site faster or change its content. Its benefit is that the address belongs to you, so rules that refer to it stay valid.
Costs and Address Availability
Dedicated IPv4 addresses are limited in supply. Because the public pool has run out, providers must buy or lease addresses, and they often charge for a dedicated one. This is why a dedicated IPv4 address is usually an add-on rather than standard. The background is explained in the article on IPv4 exhaustion.
IPv6 offers a far larger supply, but it helps only with clients and services that connect over IPv6.
A Shop That Needs a Fixed Address
An online shop on shared hosting uses a payment gateway that accepts API requests only from a list of approved addresses. The host may move accounts between servers, and the shared address can change with the move, which would break the list. Buying a dedicated address lets the shop register one stable address with the gateway, so calls from its server keep being accepted.
Frequently asked questions
Is a dedicated IP more secure?
Not automatically. A dedicated address mainly changes who else shares your address, which helps with allowlists and some access rules. Security depends on configuration, software updates and firewall rules, which apply to both shared and dedicated setups.
Can I switch from shared to dedicated IP later?
Usually yes, through your host. The result is normally a new address for the site, so DNS records must be updated to point to it, and any allowlists that name the old address must change too. Plan the switch so that DNS changes have time to spread before the old address is retired.