ISP Proxies vs. Residential Proxies: Comparison Guide

For those looking to understand “how ISP and residential proxies handle business” and “which proxy network is best suited for automated scraping,” this comprehensive comparison guide is tailored just for you. Whether your goal is to manage bot traffic or bypass regional restrictions, this article will help you choose the right proxy tools.

We will cover:

●  Overview of ISP Proxies and Residential Proxies: Definitions, How They Work, Pros and Cons, Use Cases.

●  Factors to Consider When Assessing Proxy Networks.

●  Annual Top 5 Proxy Providers Selected List.

What are ISP Proxies?

ISP proxies are a unique type of proxy that combines the features of both data center and residential proxies. They are provided by Internet Service Providers (ISPs) like Comcast, AT&T, or Verizon, and function as a bridge between the speed of data center proxies and the legitimacy of residential proxies. This dual characteristic makes them an ideal choice for navigating complex website blocking mechanisms.

If this sounds confusing, think of ISP proxies as renting a fast lane on a highway—they originate from genuine ISP networks but are hosted in data centers, offering high-speed connections and increased anonymity.

These proxies are typically managed by third-party companies, which collaborate with ISPs to allocate IP addresses. This setup allows users to simulate traffic from real home networks while avoiding being flagged as suspicious by websites. For example, when you visit a proxy-sensitive site, the ISP proxy server’s address appears as if it’s coming from a regular home user, thereby reducing the risk of being blocked. This makes them particularly useful for handling complex target sites, such as during dynamic content scraping or automated tasks, without triggering security alerts.

How Do ISP Proxies Work?

The operation of ISP proxies is based on a multi-step process involving request routing, IP masking, and response returns, ensuring that user activities appear to be originating from a legitimate ISP network. Here are the detailed steps:

1. User Request Sent: When you send a request to access YouTube through an ISP proxy, your request is first routed to the proxy server instead of going directly to the target website.

2. IP Address Replacement: The proxy server replaces your original IP address with its own (from an ISP like Comcast or AT&T).

3. Request Forwarding: The proxy server then forwards the modified request to the YouTube server. The website sees the ISP’s IP address, treating the request as coming from a regular residential user rather than a proxy.

4. Response Received: YouTube sends the response data back to the proxy server, which then forwards it to you. The entire process is completed in milliseconds, providing a seamless browsing experience.

5. Session Management: The proxy server may maintain session states to handle cookies or authentication, ensuring that continuous activities are not interrupted. This mechanism makes ISP proxies highly effective for tasks requiring speed and reliability while avoiding the detection issues common with traditional data center proxies.

ISP Proxies: Advantages and Disadvantages

ISP proxies come with unique advantages and disadvantages, including:

Advantages:

●  High-Speed Connections: Hosted in data centers with higher bandwidth, ISP proxies provide extremely fast connection speeds and response times.

●  High Anonymity: These proxies use real ISP addresses, typically appearing as natural user traffic, thus making it less likely for websites to identify them as proxies, reducing the risk of being blocked.

Disadvantages:

●  Limited Geographic Distribution: The IP address pool for ISP proxies is limited and may be concentrated in specific regions (like North America or Europe), lacking the millions of IPs that residential proxies can offer.

Common Use Cases for ISP Proxies

ISP proxies are suitable for various scenarios, especially those requiring speed and reliability:

●  Data Collection: ISP proxies allow efficient scraping of website data without being blocked, particularly useful for AI training data collection, as they mimic real user traffic.

●  SEO Monitoring: They can be used to monitor website rankings across different regions, ensuring accurate data collection.

●  Ad Verification: Businesses use ISP proxies to assess ad performance and identify click fraud or invalid traffic.

●  Sneaker Purchases: Maintain high speed and low latency advantages during flash sales.

●  Streaming: They help bypass geographical restrictions to access region-locked content like Netflix or Hulu, providing a smooth experience.

What are Residential Proxies?

Residential proxies are servers that use IP addresses from real residential users. These IP addresses are ethically sourced and possess high legitimacy and stealth. Imagine using a residential proxy as borrowing a neighbor’s internet connection—it originates from real household devices and is shared through partner networks or volunteers, ensuring that your online activities mimic those of regular users.

This differs from ISP proxies, as residential IP addresses are assigned to actual homes rather than data centers, making them harder for websites to detect and block. For instance, when you use a residential proxy, the target website sees an IP from a home, significantly reducing the risk of being flagged as a bot.

This type of proxy emphasizes ethical sourcing, ensuring that IP addresses are obtained transparently and do not invade user privacy, making them the preferred choice for tasks requiring the highest level of anonymity.

How Do Residential Proxies Work?

The operation of residential proxies relies on a distributed network where the IP addresses of real residential devices are shared to route traffic, ensuring high stealth and the simulation of real users. Here’s how it works:

1. IP Address Pool Established: Proxy providers build a globally distributed IP pool by partnering with users who agree to share their residential network IP addresses.

2. User Request Routing: When you send a request, it first goes to the proxy network, which selects a residential IP address from the pool (e.g., from a household router in New York).

3. IP Masking and Forwarding: The proxy server replaces your original IP with the selected residential IP and forwards the request to the target website. The website sees it as legitimate residential traffic.

4. Response Return: The target website responds back to the residential IP, and the proxy server then forwards the response to you, keeping the process end-to-end encrypted for security.

5. Rotation and Session Handling: Residential proxies often use IP rotation, with each request potentially using a different IP to avoid pattern detection and maintain anonymity. This mechanism makes residential proxies highly effective for bypassing strict anti-bot measures.

Residential Proxies: Advantages and Disadvantages

Similar to ISP proxies, residential proxies have their pros and cons:

Advantages:

●  Increased Detection Difficulty: IP addresses come from real user devices, making it nearly impossible for websites to identify them as proxies, providing top-notch privacy protection.

●  Global IP Pool: Residential proxy networks typically have millions of IP addresses spread across the globe, allowing precise targeting.

●  Anti-detection and Bypassing Restrictions: They easily bypass the most stringent anti-bot systems (like Cloudflare), making them suitable for scraping protected websites.

Disadvantages:

●  Variable Speeds: Speed depends on the quality of the residential network, which may be slower or unstable, affecting real-time tasks like streaming.

Common Use Cases for Residential Proxies

Residential proxies are suitable for scenarios requiring high anonymity and the simulation of real users:

●  Price Monitoring: Monitor and collect competitor prices and promotions from a real user perspective, avoiding detection by e-commerce platforms.

●  Social Media Management and Automation: Manage multiple accounts or automate posting without being blocked due to IP duplication.

●  App Testing and User Experience Validation: Developers use residential proxies to test app performance in different regions, ensuring consistency.

●  Public Opinion Monitoring: Collect public opinion data from specific geographic locations for business decision-making.

ISP Proxies vs. Residential Proxies

The differences between ISP proxies and residential proxies determine their applicability in various use cases. Here are the main distinctions:

IP Address Source:

●  ISP Proxies: IP addresses come from Internet Service Providers (like Comcast) but are hosted in data centers, combining speed and legitimacy.

●  Residential Proxies: IP addresses come from real residential user networks, shared ethically, providing high authenticity.

👍 Winner: Residential proxies win in source authenticity due to their difficulty of detection.

Speed and Performance:

●  ISP Proxies: Provide high-speed and stable connections, suitable for real-time tasks due to data center hosting.

●  Residential Proxies: Speed can vary, depending on residential network quality; it may be slower in business applications but offers more authentic traffic.

👍 Winner: ISP proxies win on speed, ideal for applications needing quick responses.

Anonymity and Anti-detection:

●  ISP Proxies: Offer high anonymity but may be recognized as proxies by advanced systems due to data center association.

●  Residential Proxies: Provide top-tier anonymity, making it nearly impossible to distinguish from real users.

👍 Winner: Residential proxies win in anonymity, suitable for sensitive tasks.

Cost and Scalability:

●  ISP Proxies: Generally lower in cost, easy to scale for large operations.

●  Residential Proxies: Higher costs, but provide a wider IP pool for global needs.

👍 Winner: ISP proxies win in cost-effectiveness, ideal for budget-conscious projects.

For other differences, they are presented in the form of a table:

Dimension	ISP Proxies	Residential Proxies
Source	Authorized by ISPs and hosted in data centers	From real residential devices
Speed	Extremely fast, low latency	Slower, relatively higher latency
Stability	High	Medium
Anonymity	Medium	High
Bandwidth	Lower	Higher
Cost	Varies by provider, generally cheaper	Typically more expensive
IP Rotation	Supports static IPs, better for fixed tasks	Supports rotating IPs, frequently switches between tasks
Detection and Blocking Risk	Medium	Extremely low
Geolocation	Limited nodes, specific regions only	Global IP pool supports precise targeting
Applicable Duration	Short-term high-speed tasks or long sessions	Long-term sensitive tasks
Use Cases	Sneaker purchases, multiple gaming accounts	SEO monitoring, complex anti-scraping
Ethical Considerations	Relatively compliant, fewer ethical controversies	Unreliable providers may offer IPs without user consent

For more on ISP Proxies vs Residential Proxies, read this article.

How to Choose the Right Proxy Network for Your Needs?

Choosing the right proxy network depends on several factors, including speed, anonymity, cost, and specific application scenarios. Careful assessment is needed to match your requirements.

First, consider the type of task: if you need high-speed performance for data scraping or streaming, ISP proxies may be the better choice due to their stable connections and low latency. Conversely, if you’re engaged in market research or need to bypass strict security measures, the anonymity and global coverage of residential proxies might be superior.

Next, evaluate your budget and scalability—ISP proxies are typically more economical, suited for startups or large-scale operations, while residential proxies, though costlier, offer unparalleled authenticity for high-risk tasks.

Additionally, the level of anonymity and ethical considerations are crucial: if you value privacy and compliance, the ethical sourcing of residential proxies may provide more peace of mind, whereas ISP proxies are more practical in speed-prioritized scenarios.

Finally, don’t forget to test the service of providers: through trials or small-scale deployments, check for reliability, customer support, and IP pool quality.

In conclusion, there is no one-size-fits-all solution; weighing these factors will help you make an informed decision.

Best Proxy Providers: Top 5

Now it’s time to explore the top five proxy providers of 2025 based on the criteria mentioned above.

1. Thordata

Thordata is the most cost-effective proxy provider, aimed at delivering the best proxy solutions in terms of performance, scalability, and affordability. It has become a trusted choice for over 4,000 businesses globally, operating a vast and reliable proxy network with over 60 million IP addresses across 195 countries. All of Thordata’s proxy IP resources are ethically sourced, complying with GDPR/CCPA/PDPA regulations, ensuring all scraping activities are conducted legally.

Key Features

Proxy Network:

●  Residential Proxies: 60M+ Residential IPs in 195 countries

●  Static ISP Proxies: Over 550,000 IPs in 53+ regions

●  Unlimited Residential Proxies: 18 million active residential IPs in 60+ regions

●  Datacenter Proxies: 650,000+ IP pool

●  Mobile Proxies: Over 60 million mobile IPs in 140+ countries

Protocol Support: HTTP/HTTPS/SOCKS5

Uptime: 99.7%

Connection Success Rate: 99.9%

Free Services: Yes, trial available

Customers: 4000+

Customer Support: 24/7 tech support, online chat, dedicated account managers, email, etc.

Starting Prices:

●  Residential Proxies: From $1.8/GB, billed per GB

●  Static ISP Proxies: From $1.5/week, IP-based pricing (discounts for 2 or more IPs)

●  Unlimited Residential Proxies: From $69/day, time, bandwidth, server package pricing

●  Datacenter Proxies: From $0.75/IP, IP-based pricing (discounts for 2 or more IPs)

●  Mobile Proxies: From $2.2/GB, custom pricing per GB

2. LunaProxy

LunaProxy is another well-known and reliable proxy provider with control over 200 million IP addresses in over 195 countries, allowing users to send unlimited concurrent connection requests and providing free geographic targeting at the country, state, city, and ISP level.

Key Features

Proxy Network: 200M+ proxy IPs in 195 countries

Protocol Support: HTTP/HTTPS/SOCKS5

Uptime: Not disclosed

Connection Success Rate: 99.99%

Free Services: No

Customer Support: 24/7 tech support, online chat, dedicated account managers, email, etc.

Starting Prices:

●  Residential Proxies: From $0.77/GB with pay-as-you-go

●  ISP Proxies: From $0.17/IP/day, IP-based pricing

●  Rotating ISP Proxies: From $0.4/GB, pay-as-you-go

●  Unlimited Residential Proxies: From $66/day, time and bandwidth package pricing

●  Data Center Proxies: From $0.11/IP, IP-based pricing

3. Brightdata

Brightdata is one of the largest providers, offering a comprehensive range of proxy types within its vast network of millions of proxy servers while ensuring exceptional performance and extremely high business success rates.

Key Features

Proxy Network: 150M+ proxy IPs in 195 countries

Protocol Support: HTTP/HTTPS/SOCKS5

Uptime: 99.99%

Connection Success Rate: 99.95%

Free Services: Yes

Customers: 20,000+

Customer Support: 24/7 tech support, dedicated account managers, email, etc.

Starting Prices:

●  Residential: From $2.5/GB with pay-as-you-go

●  ISP: From $1.3/IP, IP-based pricing

●  Data Center: From $0.9/IP, IP-based pricing

●  Mobile: From $5/GB, pay-as-you-go

4. Oxylabs

Oxylabs focuses on serving enterprise clients, operating a large proxy network consisting of over 177 million IP addresses, all ethically sourced from partners and fully compliant.

Key Features

Proxy Network: 177M+ proxy IPs in 188 countries

Protocol Support: HTTP/SOCKS5

Uptime: 99.9%

Connection Success Rate: 99.95%

Free Services: Yes

Customers: 4000+

Customer Support: 24/7 tech support, online chat, dedicated account managers, email, etc.

Starting Prices:

●  Residential: From $4/GB with pay-as-you-go

●  ISP: From $1.6/IP, IP-based pricing

●  Data Center: From $1.2/IP, IP-based pricing

●  Mobile: From $5.4/GB, pay-as-you-go

5. SOAX

SOAX is a premium proxy provider aimed at offering high-quality residential and mobile IP services, boasting a proxy network of over 155 million IPs across 195 countries.

Key Features

Proxy Network: 155M+ proxy IPs in 195 countries

Protocol Support: HTTP/HTTPS/SOCKS5

Uptime: 99.9%

Connection Success Rate: 99.95%

Free Services: Yes

Customers: 10,000+

Customer Support: 24/7 tech support, online chat, email, etc.

Starting Prices:

●  Residential: From $0.32/GB with pay-as-you-go

●  Mobile: From $0.32/GB, pay-as-you-go

●  US ISP: From $0.32/GB, pay-as-you-go

●  Data Center: From $0.32/IP, IP-based pricing

Best Proxy Providers: Summary Table

Refer to the summary table below for the top 5 proxy providers of 2025:

Provider	Proxy Network	Location	Uptime	Success Rate	Free Services	Customers	Starting Prices
Thordata	60M+	195+	99.7%	99.9%	✔️	4000+	$1.8/GB
LunaProxy	200M+	195+	secret	99.99%	❌	secret	$0.77/GB
Brightdata	150M+	195+	99.99%	99.95%	✔️	20000+	$2.5/GB
Oxylabs	177M+	188	99.9%	99.95%	✔️	4000+	$4/GB
SOAX	155M	195	99.9%	99.95%	✔️	10K+	$0.32/GB

Conclusion

This article aims to help you clearly distinguish between ISP proxies and residential proxies. If your core needs are speed, stability, and concurrent performance, ISP proxies are undoubtedly the ideal choice. However, if you prioritize anonymity, geographical coverage, and security for sensitive tasks, residential proxies take the lead. Ultimately, the choice depends on your business objectives and budget.

For further insights into different proxies, continue reading our other articles, such as “Top 6 ISP Proxies of 2025,” “ISP Proxy Guide,” and “What are Residential Proxy Services?”

Enjoy Thordata’s free trial now!