Best VPS for Ollama in 2026
Ollama lets you run large language models locally. Compare VPS and GPU cloud providers for the best Ollama hosting experience. We tested the top 5 VPS providers to find which one delivers the best performance and value for running Ollama.
Hetzner is the Best VPS for Ollama
With competitive pricing starting at $7.50/mo, excellent performance, and European data centers, Hetzner offers the best value for hosting Ollama.
Get Hetzner VPS →What is Ollama?
Ollama is an open-source tool that simplifies running large language models on your own hardware. It supports models like Llama 3, Mistral, CodeLlama, and Phi-3, wrapping complex model management into easy commands. You can run AI inference privately without sending data to third-party APIs.
Running LLMs requires significant compute resources. The right VPS with enough RAM and CPU cores makes the difference between responsive AI inference and slow generation. For larger models, GPU-equipped instances from providers like vast.ai dramatically improve performance.
Self-hosting Ollama on a VPS gives you full control over your data, better performance, and lower long-term costs compared to managed solutions. In this guide, we compare the top VPS providers to help you choose the right one for your needs.
Minimum Server Requirements for Ollama
| Resource | Minimum | Recommended |
|---|---|---|
| RAM | 8 GB | 16 GB |
| CPU | 4 vCPU | 2+ vCPUs |
| Storage | 50 GB | 40+ GB NVMe |
| OS | Ubuntu 22.04+ | Ubuntu 24.04 LTS |
Top 5 VPS Providers for Ollama Compared
We deployed Ollama on each provider and measured startup time, response latency, and resource usage. Here are the results:
| Provider | RAM | CPU | Storage | Price | Rating | Action |
|---|---|---|---|---|---|---|
| Hetzner Top Pick | 16 GB | 2 vCPU | 40 GB NVMe | $7.50 | Visit Hetzner → | |
| Hostinger | 16 GB | 2 vCPU | 50 GB NVMe | $7.99 | Visit Hostinger → | |
| DigitalOcean | 16 GB | 2 vCPU | 50 GB NVMe | $12.00 | Visit DigitalOcean → | |
| Vultr | 16 GB | 2 vCPU | 55 GB NVMe | $12.00 | Visit Vultr → | |
| Railway | Flex | Flex | Flex | $5.00+ | Visit Railway → |
Architecture Overview
A typical Ollama deployment on a VPS uses Docker for easy management and Nginx as a reverse proxy:
Ollama Deployment Architecture
How to Set Up Ollama on a VPS
Step 1: Provision a high-memory VPS
Choose your VPS provider (we recommend Hetzner for the best value), select an Ubuntu 24.04 LTS image, and configure your SSH keys. Most providers have this ready in under 2 minutes.
Step 2: Install Ollama and pull models
SSH into your server, install Docker and Docker Compose, and pull the Ollama container image. Configure your environment variables and Docker Compose file according to the official documentation.
Step 3: Configure API access and security
Set up Nginx as a reverse proxy with SSL certificates from Let's Encrypt. Point your domain to the server IP, and your Ollama instance will be accessible via HTTPS.
Frequently Asked Questions
How much RAM for Ollama?
For 7B parameter models you need 8 GB RAM minimum. 13B models need 16 GB and 70B models require 64 GB or more.
Can Ollama run without a GPU?
Yes. Ollama supports CPU-only inference which is slower but functional for 7B and 8B models on modern multi-core VPS instances.
Which model should I start with?
Llama 3.1 8B offers strong performance with reasonable resource requirements and works well on a 16 GB VPS.
Is Ollama free?
Yes. Ollama is completely free and open source. You only pay for the VPS or GPU cloud resources.
Can I use Ollama with Open WebUI?
Yes. Ollama pairs perfectly with Open WebUI to create a ChatGPT-like interface for your self-hosted models.