Each of our physical servers, where is the virtualization running, has two processors, each with 4 cores, plus hyperthreading is there (in one core can run two threads). So the physical server where running the virtual servers offers a total at one time 16 threads, otherwise 16 single-threaded processes (programs).
To the virtual server are set, so-called virtual processors. If you have one virtual processor, your server runs on a physical server as a single-threaded process, which may use one thread of the physical processor.
So all virtual processors of all virtual servers together are “competing” for 16 threads that can be performed simultaneously. Hardware is calculated to average 50% load (1:3 share).
The more virtual processors you have, the more threads of the physical processor can be used simultaneously and therefore to get more performance. however, your virtual processors always will share performance with others, there will never be a reserved performance for you.
VPS ON and dedicated CPU
VPS ON offers also a dedicated CPU feature. That means 100% of a physical CPU thread is there only for you.