VPC Concepts#

A Virtual Private Cloud is an isolated virtual network inside a cloud provider. Every resource you launch – EC2 instances, RDS databases, Lambda functions with VPC access – lives inside a VPC. The VPC defines an IP address range using CIDR notation, and all resources within it get addresses from that range.

The most common mistake is giving every VPC a /16 (65,536 addresses). This wastes IP space and causes problems later when you need to peer VPCs – overlapping CIDR blocks cannot be peered. Plan your IP allocation before building anything.