Shared IP vs. Dedicated IP Address in 2024

When you connect to a network, your devices are given what is known as shared IP addresses, which implies that the address changes every time you log on. Some users prefer and recommend dedicated IP addresses in certain situations. Let’s explore these two different types of IP addresses and their use cases.

What is an IP address?

Let’s get the basics first. Internet Protocol, or IP, is a set of guidelines that govern how devices connected to the Internet communicate with one another via a network. A specific device is given an IP address as a unique identifier to help identify it online.

In essence, when you connect to a VPN server, your real IP address is changed to the IP address of the VPN server. This means that any website you visit or anyone trying to find your IP address will only see the address of the server.

What is a shared IP address?

An IP address that is shared by VPN users is known as a shared IP address, as the name suggests. Therefore, when you browse the internet while connected to a VPN, the IP address that is issued to your device will also be assigned to other users at the same time.

Advantages of shared IP addresses



The main advantage of shared IP addresses is that they increase the end user’s privacy. Since several users are using the same IP address, it is challenging to pinpoint an individual person using their IP address history, yet it is not always impossible. It becomes tougher to identify a particular user when there are more users.


If you want to use a dedicated IP address, you will need to pay some money for your VPN service since they provide you with a personal IP address. The shared option is less expensive than the dedicated one. The dedicated one has additional rights relative to the user’s security preference, which explains why.

Disadvantages of shared IP addresses


Bad neighbor effect

You can experience the “bad neighbor effect” due to the fact that your IP address is shared with others. There will undoubtedly be a few bad apples among the hundreds of users who download enormous quantities of data, send spam emails, or do not use the internet effectively. This might cause you to constantly encounter CAPTCHAs or possibly get prohibited from using certain websites.

What is a dedicated IP address?

If you choose a dedicated IP, your VPN service will provide you with a special list of VPN IP addresses that nobody else will have access to. Your network traffic will be routed through that specific IP address once you have a dedicated IP, giving you more control.

To avoid the above-mentioned bad neighbor effect in which a shared IP is banned by a service due to the actions of other users, you need a dedicated IP address. Dedicated IP addresses are also helpful if you wish to safeguard online payments and avoid annoying CAPTCHAs.

Advantages of dedicated IP addresses


Secure remote access

There is a good reason why most company networks can only be accessed through specified IP addresses, namely to avoid the potential of unwanted intrusion. However, with a dedicated IP VPN, staff members can securely connect to these networks from anywhere they like.

Effortless login

Some websites verify your IP address when you log in. If your IP address often changes, you can be prevented from logging in until these websites can confirm your identity. This makes accessing these sites incredibly difficult, but you can get around this problem by using a dedicated IP VPN, as you’ll always have the same IP address.

Access to banking

To deter fraud, financial organizations also restrict shared IP addresses. You can avoid this and continue to conduct your banking even while you are outside of the country by using a dedicated IP address.

Disadvantages of dedicated IP addresses


Less anonymity

The main disadvantage of utilizing a dedicated IP address is that it makes online browsing less anonymous. In each session, your dedicated IP address remains the same. Since the IP address is only being used by you, websites can use it to track your activities online. A shared IP address provides more anonymity if keeping your surfing history private is your main concern.

Is a dedicated IP address worth it?

Dedicated IP addresses are a great option for anyone who wants their VPN to be as safe as possible and to have the greatest online experience possible. There is a chance that attackers may get access to your personal information and hard-earned money if you use a VPN without a dedicated IP. You’ll be safer online and less vulnerable to hackers if you use a dedicated IP.

As stated above, if your main concern in using VPNs is anonymity, you might not need a dedicated IP address. But if you are looking for increased security and a better experience in terms of performance, dedicated IP addresses are a must-have for you. There are several options when trying to discover a VPN that provides dedicated IP addresses. If you want to check out one of our top choices, you can find it on this page.


Dedicated IP addresses for businesses

Companies can adapt to the current state of the workplace with the help of a business VPN with a dedicated IP address. Employees frequently connect via unsecured devices and non-company-owned infrastructures, increasing the possibility of malware infection and access credentials compromise.

However, even if malicious users do obtain your login credentials, it would not be sufficient for them to compromise your systems since they connect from an IP address other than the whitelisted one. Therefore, a VPN with a dedicated IP address enables you to design a multifaceted security strategy that makes life simpler for you while adding more barriers in the way of opponents.

If you are managing a wide remote workforce, using a business VPN with a dedicated IP address might be one of the best cybersecurity decisions you ever make.

About Nina Smith