Till now, you all are aware about what exactly is the importance of hosting. Initial stages of almost all small budget websites start with shared hosting and move to other stages by time. Today let us know what exactly are the terms shared hosting, VPS and dedicated hosting mean. These are the different types of web hosting and all are different in its own way.
These different web hosting plans are based on the usage of systems. Shared hosting is that hosting where a huge number of websites varied around 500-600 are placed on a single machine and all websites share the huge resources of a single system like bandwidth, disk space, RAM, processor and other resources.
Virtual Private Server is the one where you have control over more options on your Virtual OS of your server. You are the boss for your virtual server. Here you will have more comfort that you will get much resources and also you can allot more resources in case of need. This is better recommended for high traffic and high resource consuming websites. Once your site starts getting high traffic or if your script consumes high resources in the machine or in case if your web hosting and design makes the website to load slow, you will need to switch to VPS.
Dedicated hosting is that where you will have all control over the machine. All the websites hosted on your machines are controlled by you. You can add any number of websites and if you need more resources, you can add them with the help of support teams. All top brand websites and highest traffic sites use this. You will take a huge time to reach the stage that this is required.

I am surprised that most discussion I see on hosting doesn’t talk about cloud hosting yet. 90% hosting providers will provide shared, VPS or dedicated hosting but I would say 90% traffic actually goes to cloud hosted and collocation hosting.