Hosting your web sites on your own dedicated server may seem a little expensive in comparison to shared web hosting, but the end result is more advantageous. Shared web hosting, no matter how well managed, cannot be 100% reliable and stable. However if you have your own dedicated server you can manage to avoid most of the variables affecting the reliability and stability of a server, commonly experienced by shared hosting accounts; variables such as: overload, bad codes and scripts from other users (especially beginners); and, too many applications and components uploaded, and so on.
On a dedicated server you will install only software and applications you want to use, while on a shared hosting server you will find a host of other softwares and applications installed for other users.
Benefits of Dedicated Servers
The shared web hosting is an inexpensive entry point for low traffic websites, running within the setup constraints of the standard accounts. As some sites expand, the shared hosting accounts become limiting. Some of the advantages of having a dedicated server are enumerated below:
Performance
You are not sharing the system resources such as processor power, memory and disk space with other sites on the same server.
Greater Reliability
You do not run the risk of the server being slowed down, swamped with traffic, or crashed by another site on a shared server.
Security
As nobody else has access to the server you can be sure of having a much greater degree of security and you have the authority to install additional security software on your dedicated server.
Custom Configuration
On shared hosting, you are not allow (in most instances) to install any special software or configuration that your script needs. In most instances, dedicated server will be your only options.
Custom Firewall
Run your own custom firewall to enforce your own access control policy.
Your own IP address
Most shared hosting sites share a single IP address, with site traffic directed by the server examining `host headers'. In contrast your dedicated server has its own unique IP address. On shared hosting, you will be sharing the same outgoing IP address as 200 or more websites and if one of these domains causes the server outgoing IP to be blacklisted, you will be penalized too.
Upgrade Path
With your own dedicated server, you can add more memory, disk space or extra processors as the need arises.
SLAs
A Service Level Agreement and often 99.95% or more network uptime guarantee
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