When looking for a hosting solution to run your website on you will be deciding between shared hosting, virtual private server (VPS) or a dedicated server. Cost is always an issue so you should not buy more than you need at the moment. For this reason the shared hosting solutions are used most widely.
Shared webhosting
In this case the resources of the server are shared by thousands of websites. This brings the cost down as it is divided among many customers who share the same server. On the other hand, since everything is shared, if one website goes crazy and overloads the server everyone else is affected.
Dedicated Webserver Hosting
On the other side of the spectrum is the dedicated server hosting. When going with this option you will get a whole physical server just for yourself. No dependance on other websites, more security and the ability to install specialized software if you need one are the trademarks of this solution. You can manage the whole server yourself or you can get it done by your hosting provider. The cost of the dedicated server is of course higher, so it is suitable for bigger websites that have outgrown the shared hosting environment.
Virtual Server
For some users, the shared hosting might not meet their needs anymore and dedicated server hosting can be quite expensive. For such users, virtual server hosting can be the perfect solution. The customer has more resources as compared to the shared hosting; however, the complete server is not rented in this case. The Virtual Private Server (VPS) is based on a partition on the server due to which it acts like a dedicated server that is not shared on that partition. Other virtual servers are based on other partitions and thus, each of them can even have their own operating system and processing power. Customers do not need to maintain their servers since they are located on the main webserver. Also, the virtual dedicated webserver offers more disk space and bandwidth as compared to the shared hosting.
So what should I choose?
You will see all the products mentioned provided by most hosting companies. The cost difference among different providers are typically not pronounced as far as the cheaper options (shared hosting/private servers) go but can get up there in the dedicated servers arena. It's quite hard to compare these higher end services without actually using them for a while. There is the difference in hardware used and of course the supporting services can range widely too.
So, we conclude that the usage of the web hosting servers completely depends upon the need of the user. Sometimes, the content and the network usage of your website increases to a great extent. At that time, it becomes mandatory to move to a dedicated server or a virtual server for web hosting.
Shared webhosting
In this case the resources of the server are shared by thousands of websites. This brings the cost down as it is divided among many customers who share the same server. On the other hand, since everything is shared, if one website goes crazy and overloads the server everyone else is affected.
Dedicated Webserver Hosting
On the other side of the spectrum is the dedicated server hosting. When going with this option you will get a whole physical server just for yourself. No dependance on other websites, more security and the ability to install specialized software if you need one are the trademarks of this solution. You can manage the whole server yourself or you can get it done by your hosting provider. The cost of the dedicated server is of course higher, so it is suitable for bigger websites that have outgrown the shared hosting environment.
Virtual Server
For some users, the shared hosting might not meet their needs anymore and dedicated server hosting can be quite expensive. For such users, virtual server hosting can be the perfect solution. The customer has more resources as compared to the shared hosting; however, the complete server is not rented in this case. The Virtual Private Server (VPS) is based on a partition on the server due to which it acts like a dedicated server that is not shared on that partition. Other virtual servers are based on other partitions and thus, each of them can even have their own operating system and processing power. Customers do not need to maintain their servers since they are located on the main webserver. Also, the virtual dedicated webserver offers more disk space and bandwidth as compared to the shared hosting.
So what should I choose?
You will see all the products mentioned provided by most hosting companies. The cost difference among different providers are typically not pronounced as far as the cheaper options (shared hosting/private servers) go but can get up there in the dedicated servers arena. It's quite hard to compare these higher end services without actually using them for a while. There is the difference in hardware used and of course the supporting services can range widely too.
So, we conclude that the usage of the web hosting servers completely depends upon the need of the user. Sometimes, the content and the network usage of your website increases to a great extent. At that time, it becomes mandatory to move to a dedicated server or a virtual server for web hosting.

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