Web hosting is a service where a client rents disk space on a server. Some advantages to renting web space as opposed to setting up your own are as follows:
- Less overhead (no need to purchase servers, firewalls, etc.)
- Less maintenance
- Faster deployment
- Shared - Hosting where hundreds of clients may share the same server, but their accounts are completely separate. Shared hosting is by far the most affordable option as hosting providers can fit many customers onto one server, this reducing the amount of profit that must be generated by each client.
- Reseller - A service in which a client rents a bulk quantity of web space with reseller privileges. Reseller rights enable the client to resell hosting services to other clients, thus enabling them to create their web hosting company for very little overhead.
- VPS - A virtualized server, meaning that there will be multiple clients on the server, but they will all be sharing the server's resources.
- Dedicated - A service that provides an entirely dedicated web server for use by the client. No other clients will be using this server.