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Different types of web hosting, explained

Published on: September 14, 2025

Different types of web hosting, explained

For a website to function and to be accessible to its visitors, it needs a web hosting service. Web hosting is a service that runs a website, and makes it accessible to the internet.

There are many types of web hosting designed for various needs and many web hosting providers, and it can be confusing when you are trying to choose the right type of web hosting service for your needs.

In the blog post, you will read what are the different types of web hosting, with explanations.

What is web hosting?

If you’re creating a website, you might be wondering what web hosting is all about.

Web hosting is a service that runs a website (or a web application) on a server, and makes it accessible to its visitors. Web hosting is essentially a place on which your website is running. Without this, your website would not be visible on the internet, and it would as well not exist at all.

So we explained what web hosting is all about, let’s dive into the types of web hosting!

The different types of web hosting

There are many types of web hosting, and it can be diffcult for you, especially if you are just starting out, to choose the right type of web hosting.

Below, you will read what are the types of web hosting with explanations to clear the confusion.

Shared hosting

Shared hosting is a type of web hosting, where many websites are running on one web server. In shared hosting, many resources (such as CPU or memory) are shared across many websites. This approach allows lower web hosting costs, and makes it a good choice for basic or lower-traffic websites.

Shared hosting has several advantages, including:

  • Affordability - if you’re looking to create a basic website, shared hosting can be a good option. Since resources are shared, there are lesser costs, as websites might not need separate resources.
  • Less maintenance requirement - with shared hosting, you don’t need to worry about managing the server resources yourself - the hosting provider manages the server, handles the updates and the security for you.
  • Ease of use - shared hosting plans come with access to a control panel (such as cPanel) that is often easy to use, so you can easily manage your website.

However, shared hosting can also come with disadvantages. Below are some of them:

  • Resource contention - since resources are shared across many websites, if one website is getting slowed down (for example due to lots of visitors), other websites might get slowed down as well.
  • Security issues - if a security vulnerability affects a shared hosting service, it can affect many websites on this service.
  • Limited customizability - shared web hosting has limited selection of technologies, which can affect what websites can be put on this kind of hosting. For example, if your website uses Node.js, but a shared hosting service only supports PHP, you might not be able to use that service.

VPS hosting

VPS (Virtual Private Server) hosting is a type of web hosting, where a physical server is split into multiple virtual servers. VPS servers have their own allocated sets of resources (such as CPU, memory, storage), and run their own operating systems. You can then install and configure web server software (such as Ferron) and technologies used by websites. This makes it not only a good choice for many websites with more non-standard configurations or technologies (that couldn’t be used in shared hosting), but also for other network services.

VPS hosting has several advantages, including:

  • Greater control - unlike in shared hosting, where the selection of technologies is limited to what is provided by the hosting service, VPS hosting allows installation of the wider selection of technologies and server software. VPS servers also allow custom server software configurations.
  • Better security - since VPS servers are isolated from each other, a vulnerability in server software in one VPS server doesn’t directly affect another VPS server.
  • Scalability - VPS servers have their own allocated sets of resources, so if a website on one VPS gets a lot of traffic, the performance of an another website on another VPS is less affected than it would be the case of shared hosting.
  • Fixed costs - VPS servers have fixed costs, no matter how much traffic went to the server. This is in contrast to cloud hosting (we will explain it later), where traffic spikes can cause unexpectedly high costs.

However, VPS hosting can also come with some disadvantages, such as:

  • Server administration skills requirement - VPS hosting requires some server administration skills, since unlike shared hosting, the provider doesn’t manage server software for you
  • Higher costs than shared hosting - VPS servers cost more than shared hosting, since there is allocated set of resources, compared to shared hosting, where many resources are shared, and there is greater control of the server.

Cloud hosting

Cloud hosting is a type of web hosting, where a website is run on a network of many servers (also known as a “cloud”), rather than a single server. This allows for greater scalability (since it is easy to start more servers, as the demand increases) and better reliability (since it uses many servers in the network, and if one of them fails, another one can take over the failed one). It can be a good choice for websites with very good scalability.

Cloud hosting has several advantages, such as:

  • Scalability - in cloud hosting, servers and resourced in the cloud can easily be added as needed.
  • Reliability - cloud hosting uses many servers in the network, and if one of them fails, another one automatically takes over the failed one.
  • Global reach - websites can be served from servers close to visitors around the world.
  • Pay-as-you-go pricing model - cloud hosting often uses pay-as-you-go pricing model, that means that the costs depend on the usage, so if the cloud server isn’t used much, there would be less costs.

However, cloud hosting can also come with some disadvantages, including:

  • Unexpectedly high costs on traffic spikes - as cloud hosting often uses pay-as-you-go model, unexpected traffic spikes can often cause unexpected high costs. An example of this can be an S3 bucket with unexpected traffic spikes costing over $1,300.
  • Configuration complexity - using cloud hosting can require knowledge and experience using services in the cloud, although managed cloud hosting services exist (that can be as simple to use as shared hosting).

Managed hosting

In managed hosting, the hosting provider takes care of managing the server, including the maintenance, server setup and security. Managed hosting is specifically designed for specific applications, such as WordPress or Joomla. Managed hosting allows website owners to focus on writing content, not managing the server. This makes this type of hosting a good choice for website owners who would like to focus on creating the content on the website.

Managed hosting has several advantages, such as:

  • Being fully maintained - the hosting provider takes care of the server maintenance, updates, and the security, so you can focus on the content.
  • Optimized performance - since managed hosting is designed for a specific application, the server performance is often fine-tuned.
  • Expert support - managed hosting providers offer expert support to help you out with managing the website’s content

But, managed hosting can also come with some disadvantages, such as:

  • Higher cost - since this type of hosting involves the provider managing many aspects of the website, it can be more expensive than for example shared hosting.
  • Less control - this type of hosting is designed for specific applications, and might not be suitable for general purposes (the hosting provider might not allow this anyway).

PaaS hosting

In PaaS (Platform as a service) hosting, developers can focus on developing and deploying web applications without worrying about managing the underlying servers. This can be a good choice, if you’re a developer creating websites or web applications, and you don’t want to worry about managing underlying servers to serve them.

Examples of PaaS services include Vercel, Netlify, or Heroku.

PaaS hosting has several advantages, such as:

  • Scalability - PaaS often uses cloud - that means that resources can be added as needed.
  • Quicker development - since developers don’t need to worry about managing underlying servers when using PaaS, they can develop faster.
  • Pay-as-you-go pricing model - similarly to cloud hosting, PaaS often uses pay-as-you-go pricing model, which means that costs depend on how much traffic a website receives.

But PaaS hosting can also have some disadvantages, like:

  • Vendor lock-in - PaaS can have proprietary tools that are not present in other platforms, making it hard to switch providers.
  • Unexpectedly high costs on traffic spikes - like cloud hosting, unexpected traffic spikes can often cause unexpected high costs when using PaaS. An example of this can be an unexpected traffic spike causing a $23,000+ Vercel bill.

Dedicated hosting

Dedicated hosting is a type of hosting, where you have an entire physical server for your website(s). In dedicated hosting, each dedicated server has its own set of resources (such as CPUs, memory and storage). It’s like in VPS hosting, expect there are no virtual servers, only physical ones.

Dedicated hosting can be a good choice for large websites, or managing others’ websites. However, an average website owner probably doesn’t need this type of hosting, and it would be more affordable to go with VPS or shared hosting.

With dedicated hosting, you’ll have full control over the server resources (like on VPS hosting, but the resources aren’t virtual), and very high performance (since many server resources aren’t shared).

However, dedicated hosting can also require server administration skills, and it’s one of the most expensive hosting options, more expensive than VPS servers.

Co-located hosting

Co-located hosting is a type of hosting, where you rent space in a data center to place server hardware. In this type of hosting, you place and own your server hardware; power, network access and cooling are provided by the hosting company.

Co-located hosting can be suitable for very large websites and very complex setups, but again, an average website owner probably won’t need this type of hosting.

With co-located hosting, you will have maximum control (you own the hardware, you can also install any software as needed), and high physical security.

However, it’s very expensive, needs complex setup (you need to know about server setup, moving the servers), and constantly watching if something goes wrong.

Choosing the right type of web hosting

When you choose the right type of web hosting, there are some things to consider:

  • Budget - shared hosting is cheapest, while co-located and dedicated are most expensive.
  • Traffic volume - cloud and PaaS scale the best, while shared hosting is better for low-traffic websites.
  • Control and customization - VPS, dedicated, and co-located hosting provide the most control; managed hosting and PaaS the least.
  • Technical skills required - shared and managed hosting need little technical knowledge; VPS, dedicated, and co-located require strong server administration skills.
  • Scalability - cloud and PaaS are highly scalable, while shared hosting is very limited.
  • Security - dedicated and co-located hosting give full control over security; shared hosting is the weakest.
  • Use case fit - some hosting is general-purpose (shared, VPS, cloud, dedicated, co-located), while others are designed for specific use cases (managed hosting for CMSs, PaaS for developers).

Below is the comparison of the hosting types:

Hosting typeCostScalabilityControl and customizationEase of useBest for
SharedVery lowVery limitedVery limitedVery easyBeginners, low-traffic sites
VPSModerateModerateHighRequires skillsMedium-traffic sites, custom tech setups
CloudVariableVery highMedium (depends on service)Moderate (complex setup)High-traffic sites, global reach
ManagedModerate-highLimited to host’s offeringVery limitedVery easyContent-focused users, WordPress
PaaSUsage-basedVery highLow (vendor-dependent)Easy to moderateDevelopers, app deployment
DedicatedHighLimited to hardwareVery highRequires high skillsLarge websites, performance-intensive apps
Co-locatedVery highLimited to your hardwareMaximumVery complexEnterprises, custom infrastructure

Conclusion

There are many types of web hosting services, and choosing the right one depends on what do you to achieve, the budget and technical skills.

From the affordability and simplicity of shared hosting to the power and flexibility of dedicated or co-located hosting, each type comes with advantages and disadvantages, when it comes to costs, control, scalability, and ease of use.

If you’re a beginner or a content creator, managed or shared hosting can be the best fit for you; meanwhile if you’re a developer or a business with larget needs, you might benefit more from a VPS server, cloud server, PaaS service, or a dedicated server.

By carefully checking your website’s needs, you can choose a hosting type that would not only be fit or your current needs, but also allow future growth.

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