Variable Frequency Drive (VFD) is a type of motor controller that drives an electric motor by

varying the frequency and voltage supplied to the electric motor. Other names for a VFD are
variable speed drive,adjustable speed drive,adjustable frequency drive,AC drive,microdrive,
and inverter.

Variable Speed Drives (VSDs), also known as adjustable speed drives, are large industrial
electric motors whose speed can be adjusted by means of an external controller. They are
used in process control and help saving energy in plants that use many
powerful electric motors

VFD should prefer for high load while for small load VSD should be preferred.