If you're a personal user you probably don't need DDoS protection but you should still know what a DDoS attack is because it's an increasing common term. For business users you should also first know what a DDoS attack is before taking steps to prevent it.
If you're heard about Anonymous you probably heard the term DDoS attack associated to them. Using attacks like these they managed to take down sites of companies like MasterCard and Visa. A DDoS attack works by sending so much traffic to a server that it gets clogged up and can't accept the legitimate traffic from real users. To do this you need a lot of connections to send this fake traffic because a single connection can't take down a network as powerful as of the sites we mentioned.
In simplest of terms that's what a DDoS attack is while Anonymous uses voluntary users that help them other organizations commonly use computers infected with malicious software to attack their victims. While home users don't have much to worry about business users certainly have. A DDoS attack can usually be prevented with DDoS protection which is provided by many companies that specialize in computer security.
Depending on the size of your infrastructure you can expect to pay anywhere from $300 per month (this will of course depend where you get your service as some providers are more expensive or cheaper) and can reach tens of thousands of dollars for large organizations which have a huge infrastructure and protection of their service is absolutely crucial.
To explain it as simple as possible DDoS protection monitors the network and CPU usage, if the usage gets out of control like in the case of an attack the protection will intervene and block all the connections only allowing those who are deemed safe.
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