THUS (thus.co.uk), an UK-based telecommunications provider, launched Demon Virtual Server, a hosted virtual server solution, on September 3, 2007. The service is aimed at companies that have outgrown their shared Web hosting solutions but aren't quite ready to move on to a full, dedicated server. Through Demon Virtual Server's control center, users can install their own software, configure and reboot the virtual server as well as host multiple domains without the expense of multiple shared hosting accounts.

"Demon Virtual Server is the ideal vehicle for ambitious, growing companies to fully embrace the benefits and opportunities offered by a dedicated server, at a fraction of the cost. The capacity to fully control this increasingly important business resource, in terms of features and functionality, enables businesses to benefit from e-commerce opportunities that will generate revenue and e-business services whilst cutting operating costs, the perfect scenario for any company," commented Stevens, product director at THUS.

According to Techworld, managed hosting provider Rackspace has been critical of THUS' hosted virtual server launch and says that virtualization is not yet ready for the big time and is unlikely to save its users money. However, THUS says virtual servers are well suited to basics, like Web site and email hosting, and running a virtual server is actually more resilient and cost-effective than a dedicated server.

Demon Virtual Server can be bought and auto-provisioned online from £300 per year, and offers weekly and daily system back-up options, domain registration, digital certification, firewall security and unique name servers.