No competitively priced VPS* is charging a price that works when everyone is fully utilizing their entire quota at 100%...
It's not nefarious: you pay a bit more than the compute you use would cost on a fractional basis, and in exchange the cost of entry is dramatically reduced, spikes in usage get absorbed, etc.
It's a win for everyone involved unless usage patterns shift and suddenly there's never a surplus to go around. At that point prices will quickly climb to roughly what dedicated resources cost.
(*and frankly it's not just VPS, a lot of cloud services rely on everyone not trying to max out their quota at the same time to even function, let alone profit.)
It's not nefarious: you pay a bit more than the compute you use would cost on a fractional basis, and in exchange the cost of entry is dramatically reduced, spikes in usage get absorbed, etc.
It's a win for everyone involved unless usage patterns shift and suddenly there's never a surplus to go around. At that point prices will quickly climb to roughly what dedicated resources cost.
(*and frankly it's not just VPS, a lot of cloud services rely on everyone not trying to max out their quota at the same time to even function, let alone profit.)