Different hosting services (Shared vs VPS vs Dedicated vs Cloud) were describe to me like this:
Shared Hosting is very similar to living in an Apartment Complex.
All residents are in the same location and must share the available resources with everyone – such as the pool, parking lot, and play ground. In shared hosting, all accounts (sites) must share the available resources with all the other accounts on the server – such as CPU time, memory, and disk space.
VPS Hosting is similar to owning a Condo. While you still share things on the property, you are ultimately responsible for maintaining your own property and repairs inside the condo. There is also significantly less residents per building and assigned parking. On a Virtual Private Server, you are allotted resources that are not shared by everyone.
The over all CPU time and memory are shared across all accounts on the machine, but at the same time portions of those resources are always dedicated to each account. This allows for more power and flexibility than being on a shared account.
Dedicated Hosting can be compared to owning a house. You are allowed and have access to all resources available on the machine.
No one else’s account resides on the machine (your house) and would not be capable of tapping into your resources.
Shared vs Cloud
Shared hosting is the most popular hosting solution that can suit even the most tight budget. But using a shared hosting solution also means that the user has to share the server resources with other users. If your website is hosted on a shared hosting server, all your data and the application you are using, will be hosted with the applications of all other users on one and the same server. Your website will share the same server resources as all other websites on the server such as CPU, Memory, disc space, bandwidth etc. The servers running shared hosting accounts are almost always fully loaded. If one website overloads the server, all users will suffer from low speed or downtime.
On the cloud your website is hosted not only on one but on several servers connected to work as one. You don’t depend on only one machine; even if one machine is broken, the others will backup its data and processes and no downtime will appear.
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