VPC
Virtual Private Cloud
Virtual Private Cloud
VPC stands for Virtual Private Cloud. It allows us to define a private network within the Amazon Web Services cloud.
Resources in this VPC can communicate with eachother using internal IP addresses, providing better security.
Of course it is also possible to make resources from the VPC available to the public internet.
Typically when we create a new resource in AWS it is automatically added to the default VPC for that account. Usually the IP address for internal communication is referred to as the "Private IP". When using the private ip address we're automatically using the VPC.
There are a lot of possible use cases for the VPC service, one of them is to use it as an extension of the corporate company network by using VPN.
For more information, please see: https://aws.amazon.com/vpc/getting-started/.