The Hidden Costs of Commercial VPNs (And How to Avoid Them Completely)

By Community Team

The VPN industry has turned your privacy fears into a billion-dollar business model. Commercial VPN services have built substantial businesses on privacy concerns, offering $15 monthly subscriptions as protection against digital surveillance. But most VPNs charge you premium prices for shared infrastructure that logs your data, throttles your bandwidth, and, in some cases, even sells your browsing habits to the highest bidder. You’re seeking privacy, but you hand over control to yet another third party.

Is there a better way? A way to reclaim your digital sovereignty, ensure your data remains genuinely private, and lower your monthly expenses? There is. You can host your own VPN on Kamatera’s enterprise-grade infrastructure for as little as $4/month.

Why self-host your VPN?

The allure of commercial VPNs is their plug-and-play simplicity. However, this convenience often comes with a hidden cost to your privacy, performance, and control. Self-hosting a VPN on a virtual private server (VPS) offers a suite of advantages that commercial services can’t match.

When you run your own VPN server, you are the sole administrator. There are no third-party logs of your connection data, no hidden policies, and no one to compromise your information. You define the rules, and only you have access to the server’s activity. This level of transparency and control is impossible with a commercial VPN provider.

Commercial VPNs operate on shared infrastructure, meaning your bandwidth is often pooled with thousands of other users. With a self-hosted VPN on a Kamatera VPS, your resources (CPU, RAM, and bandwidth) are yours alone.

While many VPN providers claim “no-logs” policies, the reality is more nuanced. Connection metadata, payment information, and technical logs often remain stored on servers. When legal requests arise, these logs can become accessible to authorities.

Commercial VPNs typically assign you a shared IP address, which can lead to issues like CAPTCHA challenges, blacklisting by certain websites (due to previous misuse by other users), or difficulty accessing specific services. A self-hosted VPN provides you with a dedicated IP address, eliminating these common frustrations and offering a cleaner, more reliable online presence.

While commercial VPNs offer encryption, self-hosting allows you to choose your preferred VPN protocol, configure custom encryption ciphers, and implement advanced firewall rules directly on your server. This granular control empowers you to build a security perimeter tailored precisely to your threat model, far beyond the generic settings offered by most commercial apps.

With a commercial VPN, you’re limited to the geographic locations in their data center network, which might not take you where you need to go. With Kamatera’s 24 global data center locations across 4 continents, you can deploy your VPS in a location that suits your geo-unblocking needs. Need a server in Tokyo for Japanese content? Done. A server in Frankfurt for European services? Easy. You dictate your digital geography.

Choosing your VPN software: UTunnel VPN, OpenVPN, and firewalls

Once you have your Kamatera VPS ready, the next step is to choose the VPN software that best fits your technical comfort level and security requirements. Here are some of the most popular options.

OpenVPN: The open-source standard

OpenVPN is the gold standard for self-hosted VPNs. It’s an open-source solution, meaning its code is publicly available for scrutiny, fostering a high level of trust and security.

Pros: Highly secure due to robust encryption and authentication mechanisms; extremely customizable; widely supported across almost all operating systems and devices with official client software. It’s a favorite among privacy advocates and technical users.

Cons: Setup can be complex, requiring command-line knowledge, manual certificate generation, and firewall configuration. It’s not for those that are new to server administration.

How it works with Kamatera: You’ll deploy a Linux-based Kamatera VPS (e.g., Ubuntu, CentOS), then follow detailed guides to install OpenVPN server software, configure certificates, and set up client profiles for your devices. Kamatera’s full root access makes this straightforward for experienced users.

UTunnel VPN: Simplified deployment

UTunnel VPN offers a user-friendly approach to deploying and managing your own VPN server, abstracting away much of the complexity of setup.

Pros: Simplifies setup through a web-based management console; ideal for users who want the security of a self-hosted VPN without deep command-line expertise; offers features like user management, firewall rules, split tunneling, and site-to-site VPNs. It’s perfect for small businesses or families.

Cons: It’s a commercial product, and it requires a license.

How it works with Kamatera: UTunnel VPN often provides scripts or pre-configured images for easy deployment on various cloud providers. You’ll deploy a Kamatera VPS, then use UTunnel’s provided tools to install and configure your VPN server, managing it via their intuitive web interface.

Firewall-based VPN: Enhanced security

Setting up VPN through a dedicated firewall solution provides additional security layers beyond basic VPN functionality. Popular options on the Kamatera console include OPNsense, Sophos XG, and Fortigate, which can be deployed on VPS infrastructure to create comprehensive security gateways.

Firewall-based VPN implementations integrate network security rules directly with VPN access controls. This approach allows granular traffic filtering, intrusion prevention, and network segmentation while maintaining VPN connectivity. Users can define specific rules for VPN traffic, blocking potentially malicious connections before they reach internal resources.

The firewall approach also enables advanced features like network address translation (NAT), quality of service (QoS) management, and load balancing across multiple VPN connections. Traffic shaping capabilities can prioritize critical applications while limiting bandwidth for less important services.

Pros: Integrated security features like intrusion prevention, web filtering alongside VPN; centralized management for network security and VPN policies; suitable for complex network architectures and compliance needs.

Cons: Can be more resource-intensive and may require more advanced expertise for configuration; some solutions require a license.

How it works with Kamatera: Deploy a Kamatera VPS and install a compatible firewall operating system (e.g., pfSense, OPNsense). Once the firewall is running, you can configure its built-in VPN features to establish secure tunnels.

Take control of your digital destiny

The financial equation is straightforward when comparing self-hosted and commercial solutions. A Kamatera VPS that is capable of hosting a VPN, which means a minimum of 1GB RAM, 20GB SSD storage, and 1TB bandwidth, costs $4 a month. Commercial VPN services charge $15+ monthly for access to shared infrastructure. Plus, with a Kamatera’s VPN hosting, there’s never any subscription limitations like device restrictions, server access tiers, or feature paywalls.

Base subscription prices for VPNs often exclude premium features, additional device licenses, and faster server access. Annual commitments may offer discounts but lock users into services that could change policies or disappear. Don’t pay too much for too little control. With Kamatera, you get transparent pricing with no hidden costs and no long-term commitments. Pay only for the resources that you use, and cancel anytime with our zero-risk, no-commitment pricing policies.

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