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Residential vs Datacenter Proxies: Which Should You Choose?

At first glance, residential and datacenter proxies may seem the same. Both types act as intermediaries that hide your IP address, allowing you to access restricted websites and geo-blocked content. However, there are some important differences between residential and datacenter proxies that you should know before making a decision. We’re happy to walk you through the differences so you can choose what's right for you.

Vilius Sakutis

Dec 19, 2023

7 min read

What are datacenter proxies

Datacenter proxies IPs are sourced from data centers with unique IPs that act as an intermediary between you and the target website, independent of your internet connection or Internet Service Provider (ISP). This independence makes it easy to hide your IP address without being tied to a specific location, therefore, datacenter proxies are most commonly used for web scraping, SEO monitoring, social media management, market research, and more. You can choose between shared or dedicated datacenter proxies.

Shared datacenter proxies

Shared datacenter proxies are like taking a bus to your destination. Multiple users access these proxies simultaneously, making them cost-effective. They’re great for market and SEO research, ad verification, entertainment, and browsing. But remember, sharing a proxy can mean slower speeds and a higher chance of getting blocked if another user misbehaves.

Dedicated datacenter proxies

Think of dedicated datacenter proxies as driving in your personal car. Only one person uses them at a time, offering faster, more reliable connections. Ideal for web scraping, multi-accounting, cyber and brand security, or smooth online gaming, these proxies provide stability and security. They cost more, but they’re worth every penny for those needing consistent performance.

What are residential proxies

Residential proxies provide IPs from Internet Service Providers (ISPs), sourced from regular users' mobile devices, desktops, and other household devices connected to Wi-Fi networks across various countries and cities. These proxies allow you to set a specific location, making it appear as though you're a genuine user on the internet while keeping your real IP address hidden. Residential proxies are ideal for tasks that require authenticity. They’re commonly used for privacy protection, web scraping, eCommerce testing, and SEO monitoring and research, as they’re the least likely to be blocked.

ISP proxies

ISP proxies are a specific type of proxy directly provided by Internet Service Providers (ISPs) and hosted on servers at data centers. Unlike residential proxies, ISP proxies aren’t sourced from user devices. Instead, they’re allocated by the ISPs themselves. This proxy is best suited for tasks that require both the authenticity of a residential IP and the speed and reliability of a datacenter proxy, like managing multiple social media accounts or high-speed data scraping.

Mobile proxies

Mobile proxies use IPs assigned by mobile carriers and sourced from mobile devices like smartphones and tablets using 3G, 4G, or 5G cellular networks. They excel in activities needing high trust and anonymity, as they rarely get blocked and rotate within network and provider pools. Mobile proxies also enable access to mobile-specific data and offer faster internet speeds.

Comparing proxy types

Now that we've covered the main features of datacenter and residential proxies, let's take a closer look at what you've been waiting for – the key differences.

Datacenter vs. residential proxies

Datacenter proxies are typically cheaper, faster, and more accessible than residential proxies because datacenter proxies aren't limited by ISP constraints. However, with residential proxies, you get other benefits. It’s easier to prevent geo-blocking, your activities appear more legitimate, anonymous, and more difficult to block because residential proxies use real IP addresses from actual devices.

Type

Residential proxies


Datacenter proxies


IP origin



ISPs (Internet Service Providers)



Data centers & cloud servers



Uniqueness



High, resemble actual users



Low, may be identified as computer-generated



Ban risk



Low due to unique IPs



Higher, with subnet bans affecting many IPs



Response time



Moderate to fast



Fast

Geo-targeting



International access with a variety of regional IPs



Limited to the proxy server’s geographic location



Use cases



  • Web scraping
  • Multi-accounting
  • Ad verification
  • Travel fare aggregation
  • Cybersecurity
  • eCommerce research
  • SEO monitoring
  • Scraping simple websites
  • Accessing geo-restricted content
  • SEO monitoring
  • Price monitoring
  • Website & application testing

Pricing



Best value with shared proxies; higher cost for dedicated IPs



Cost-effective; usually cheaper than alternatives



Residential proxies vs. dedicated datacenter proxies

Residential proxies typically operate on a rotating IP system, offering users IP addresses that can change every session or remain static for up to several minutes. Dedicated datacenter proxies, on the other hand, assign a unique IP to each user, ensuring exclusivity and a consistent online presence, which is important for tasks that demand a stable, trustworthy IP identity. Regarding pricing, dedicated datacenter proxies often adopt a per-IP pricing model, as opposed to the traffic-based pricing commonly associated with residential proxies.

ISP vs. datacenter proxies

ISP proxies represent a hybrid of functionality, merging the high anonymity of residential proxies with the enhanced speed and stability characteristic of datacenter proxies. This blend makes ISP proxies an optimal choice for users who require the best features of both residential and datacenter proxies without compromising on quality or performance.

Mobile vs. datacenter proxies

Mobile proxies offer a higher level of authenticity by rotating IPs typically assigned to mobile devices, which can effectively evade detection algorithms. In contrast, datacenter proxies offer stability and speed but lack the inherent trustworthiness of mobile IPs and are more easily identifiable as proxies. While datacenter proxies are more cost-efficient, mobile proxies offer the unique advantage of real-world user simulation, making them a more suitable choice for operations that require moving under the radar of web security measures.

Choosing the right proxy for your needs

When choosing between datacenter and residential proxies, it's important to weigh their advantages and disadvantages for your specific use case. For example, do you need speed, stability, and cost-efficiency? Or are anonymity, various geo-targeting options, and avoiding anti-bot systems and IP bans more important to you?

Datacenter proxies are known for their quick speed and reliability, but they're more likely to get blocked due to their less diverse IP range. Also, the rapid response time of datacenter proxies can lead the user to be flagged for non-human behavior. Residential proxies, on the other hand, offer unique IPs that mimic real user behavior, making them less prone to bans and better for tasks requiring a natural-looking online presence.

Our users who need to efficiently gather and analyze competitor data or create multiple accounts for performance or app testing often find that datacenter solutions work best for their needs. However, for bypassing geo-restrictions, avoiding anti-bot measures, multiple account management, AI training, web scraping, residential proxies are the ideal solution.


In a nutshell

Both residential and datacenter proxies provide essential tools for secure and efficient web navigation, suiting various online needs. Residential proxies, with their rotating IP addresses, excel in anonymity and mimic real-user behavior, while datacenter proxies offer stable, unique IPs known for speed and efficiency in data-heavy tasks.

At Decodo, we have every sort of proxy you may need. We take pride in our 115M+ residential proxies from 195+ locations with the fastest response time (<0.5s), one of the highest success rates (99.68%) in the market, and a great entry point with Pay As You Go.

We also have 100K+ shared datacenter proxies with worldwide locations and flexible payment options (Pay per GB or IP) as well as 400K+ dedicated datacenter proxies from the US. Furthermore, you can rest assured of the quality of our 10M+ mobile proxies and shared or dedicated ISP proxies.

Still unsure? We’re now offering a free 3-day trial for all our proxy solutions! Try both and see which one works best for you.

And if you ever need someone to talk to about choosing the right proxies, don’t hesitate to contact our 24/7 support team via LiveChat!

About the author

Vilius Sakutis

Head of Partnerships

Vilius leads performance marketing initiatives with expertize rooted in affiliates and SaaS marketing strategies. Armed with a Master's in International Marketing and Management, he combines academic insight with hands-on experience to drive measurable results in digital marketing campaigns.


Connect with Vilius via LinkedIn

All information on Decodo Blog is provided on an as is basis and for informational purposes only. We make no representation and disclaim all liability with respect to your use of any information contained on Decodo Blog or any third-party websites that may belinked therein.

Frequently asked questions

What is a residential proxy?

A residential proxy is an intermediary that uses an IP address provided by an ISP (Internet Service Provider). Residential proxies come from actual household desktop and mobile devices, so they’re extremely difficult to detect. Learn more about it in our blog post: What is a Residential Proxy.

What are residential proxies used for?

You can use our residential proxies with almost any application that supports HTTP/HTTPS proxies. Decodo residential-level IPs work great with all search engines, ScrapeBox, and other bots. 

You can integrate Decodo proxies with all major automation tools. If your software runs on a dedicated server or your local machine, simply add the machine’s IP to your list of whitelisted IPs. Find integrations on our site.

How do we source residential IPs?

Together with the Internet Infrastructure Coalition (i2Coalition), we’ve launched the Ethical Web Data Collection Initiative (EWDCI). This industry-led consortium will strengthen public trust, promote ethical guidelines, and help businesses make informed data collection choices. We aim to be transparent about our process of proxy sourcing and usage.

What is a datacenter proxy?

Shared datacenter proxies route your internet traffic through servers located in data centers. These servers act as intermediaries between you and the websites you visit, masking your real IP address and providing you with a different IP.

Meanwhile, dedicated datacenter proxies (a.k.a. private datacenter proxies) work as shared datacenter proxies, and additionally, they provide exclusive and private IPs sourced from data centers. Dedicated datacenter proxies offer enhanced privacy and performance with reliable and uninterrupted access, as each IP is dedicated to a single user.

What are the advantages of datacenter proxies?

Two of the greatest advantages of datacenter proxies are speed and reliability. These proxies are commonly used for tasks that require a quick response time and reliable connections, such as load testing, automated tasks, and certain SEO activities.

Datacenter proxies are easier to scale up as they're not tied to physical devices. You can easily acquire multiple proxies from a provider to accommodate your needs.

Our shared and dedicated datacenter proxies are exceptional for their advanced rotation capability, unlimited connections and threads, and low price point.

What is the difference between residential proxy and datacenter proxy?

Residential proxies are true household devices that act as your intermediary servers. They have all aspects of real internet users, such as ISP attribution, no subnetworks, or other tell-tale signs of a proxy network. Thus, you can scale any operation almost indefinitely, especially when you can access millions of these nodes.

What’s more – on Decodo’s residential proxy network, you can send unlimited concurrent (simultaneous) connection requests. That means your scraper can access all the pages you need in no time. Advanced rotation is what makes our proxies unbeatable.

And if that wasn’t enough, with us, you’ll no longer need to import any proxy lists – all you need is a single endpoint.

What is the difference between DC and ISP proxies?

DC (datacenter) proxies come from data centers and offer high-speed connections, making them suitable for tasks like web scraping or gaming. However, they’re easier to detect as proxies. ISP (Internet Service Provider) proxies, on the other hand, are linked to real residential connections and are less likely to be flagged or blocked, making them ideal for activities requiring anonymity, but they tend to be slower and more expensive than DC proxies.

What is the difference between residential and dedicated proxies?

Residential proxies are IP addresses provided by ISPs to real residential users, making them appear like typical home users, which helps avoid detection when used for tasks like web scraping or accessing geo-restricted content. As these proxies often have large IP pools, they’re great when you need to rotate your IP address with every connection or set a custom rotation interval.

Dedicated proxies, on the other hand, are private IP addresses assigned solely to one user, ensuring exclusive use. They can be either static residential (ISP) or datacenter proxies, but the key difference is the exclusivity and lack of sharing with other users.

Are ISP proxies better than residential?

It really depends on your needs and preferences. If your priority is speed and spending less, you’ll likely prefer ISP proxies, as they’re known to be faster and less expensive while still appearing like real residential connections. However, residential proxies tend to be more reliable for avoiding detection, as they come from actual home internet users.

SSL / HTTPS Proxy

What is an SSL or HTTPS Proxy

If you are new to proxies, you might be confused by how many proxy types there are: residential, rotating, datacenter, backconnect, SSL proxies… The list goes on!

The proxy ‘type’ usually refers to one of its two traits: the connection method or the type of the device acting as your proxy. SSL or HTTPS proxies denote the protocol you use to connect through the proxy server, namely, the HTTPS protocol.

Mariam Nakani

Mar 11, 2024

4 min read

Datacenter proxies around the US and Europe

Hop on a Datacenter Proxy Ride All Around the US and Europe!

Traveling is great. Discovering new things, exploring unfamiliar places, getting into adventures… What if we told ya that now it’s easier than ever? Well, listen up, buddy, because, with our shared datacenter proxies, you can travel all around the United States and Europe! Yeah, you can start packin’ your stuff for a trip even right now, ‘cause we’re goin’ on tour.

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May 10, 2022

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