Differences between Shared Hosting & Dedicated Hosting | How to select a hosting plan for your website?

There are two types of hosting servers – shared hosting server and dedicated hosting server. Usually, business owners often find it challenging to decide which type of hosting server they should use. This is mainly because both of them come with their own pros and cons. To select the kind of server you should choose, you must first understand them. This article will help you understand and select the right hosting services required for your website.

What is Shared Server Hosting?

Shared Hosting is a type of hosting wherein the provider hosts your website on a physical server with multiple other websites. This way, each site is sharing common server resources. In Shared Hosting, the system administrator manages the server and the websites to run securely. The webmaster of each site will not have individual access to all of the root files.
Shared Hosting is a lot like traveling from one destination to another in public transport. You take a bus or a train, which is economical because you share space with others. In Shared Hosting, you share server resources such as CPU, RAM, and storage with other sites on the same server the hosting provider allocates to these resources. These resources depend upon the plan you choose.

For small or new businesses, shared hosting is a wise choice. As small-sized businesses or startups of personal websites don’t use all of the features and resources available to them, shared hosting is an excellent option for hosting your site. If you are starting up your blog, this can be the best choice for you. It is also an ideal and economical solution for those who want to run multiple websites.

What is Dedicated Server Hosting?

As the name suggests, these hosting servers allot a single server dedicated solely to you. As nothing in a Dedicated Hosting Server is shared, all resources are dedicated to your website. This grants you the power and flexibility to configure your server and install custom software. Here, you have all the control over the resources for your website as you control all the hardware that makes up the server.

Dedicated hosting is a type of web hosting where a physical server is dedicated solely to a business customer. Servers often share network access with neighboring dedicated servers in a data center, but they do not share hardware. These plans tend to be more expensive, but you can customize them according to their need for performance, control, stability, scalability, and security.

So, Dedicated Hosting Servers are different because the entire computing system and its resources are only used for your web application. As you probably guessed, this means having much more power than the shared hosting packages. However, these plans are heavier on the pocket.

Benefits of Shared Server Hosting:

There are many advantages to choosing a shared hosting server. These include the following:


Less costly:

Shared Hosting is the most cost-effective and budget-friendly hosting option. The hosting company’s costs are split among the many people and websites that contribute to the server’s expenditures. Primary deals start at roughly AED 18.00 /mo per year, while premium options with unmetered disk space, unlimited bandwidth, and unlimited websites can cost over AED 43.50 /mo per year.

Adaptable and flexible:

New online businesses can start with a shared plan and easily upgrade as their business expands. So, as a small business, you can use Shared Hosting. As your business gradually expands into a large-scale business, you can switch to Dedicated Hosting by choosing whichever plan suits you. Migrating to a different hosting server is pretty straightforward and not at all intimidating. Moreover, it improves the website’s performance significantly.

Self-manageable and user-friendly:

Setting up shared hosting is quick and easy. Most hosting companies give a control panel through which you can administer your website. This simplified user interface manages the administrative activities and monitors all responsibilities associated with running a server.

Host several domains:

You may put up as many websites as you like in your user directory; all you have to do is make sure the domains you buy are connected to it. One person, for example, might have several separate domains for their website, hobbyist blog, and business.

Professionally managed:

Shared hosting is a low-maintenance option because it is professionally managed. By handling fundamental server management responsibilities, your host will relieve you of the burden of running your server. Web management is the most convenient solution unless you are willing to run the server yourself.

Benefits of Dedicated Server Hosting:

Choosing a Dedicated Hosting Server has numerous advantages that cannot be overlooked. These include the following:


Top-level Security:

Security should always be kept first. When running an online business, this is something you must consider. As in shared & VPS, there is always the fear of security breaches & attacks. But in the case of a dedicated server, you will find optimal security that fully secures the server. This is one of the main reasons why businesses opt for Dedicated Server Hosting.

Faster loading of pages:

As resources are shared in Shared Hosting Service, website load time is often affected. Loading websites and opening a specific page may take longer. In Dedicated Servers, this is not a problem. Large businesses should especially consider this factor when choosing their hosting server, as nobody wants to wait for a website to load. Everybody wants a quick and fast response.


Dedicated servers give you the flexibility to customize the server’s unique needs for CPU, RAM, Disk space, and software. You have almost every option under the sun available to be used. With shared hosting, you get limited options in terms of applications, software, and operating environment. Moreover, it is possible that the software offered under the Shared Hosting plan is not what you require or need.

Unique IP address available:

Each server has its own individual IP address. In shared hosting, you also share an IP address with multiple other websites. This means if your neighbor has a spam site or is an adult site, website rank will be pushed down. When choosing Shared Hosting, you must make sure that you opt for Servers that do not allow spam.

Enhanced performance:

In a dedicated server, you can be sure of maximum uptime for your website. If your website receives more traffic, dedicated servers are the best option because it gives more stability and reliability. A Dedicated Server is the best option if one wants improved performance and quick results.


If you use the AEserver dedicated server hosting platform for your website, you can deploy security measures, such as anti-virus and firewall configurations. This will work simply and help your website by avoiding the security breach from the hosting server end. There will be more physical security measures in Dedicated Servers such as biometric authentication, security guards, etc. This is because they are located within the data centers.

Which Hosting Is Better for Search Engine Optimization?

Let’s be honest. SEO power depends directly upon the time and effort you invest in increasing your website’s rank. Choosing Shared or Dedicated Hosting doesn’t necessarily make a difference in this matter.

However, some things can influence the SEO strength of your website. Firstly, if your website shares a server with a flagged website (for whatever reasons), then the credibility of your website is affected. If you share your website server with a spam website, then you can expect your newsletters and emails to end up in people’s junk mail as well. If your website shares a server with a restricted website, your content may automatically get restricted too. Additionally, Sharing Server can also lead to slower load time, increased website lagging speed and even more downtime.

For this reason, dedicated servers are a better option because they can positively impact and influence your SEO rankings. This is because you have direct control, and you can manage your website as you deem fit. This is a huge contrast to Shared Hosting, which has too many variables you cannot control.

Shared Hosting is often likened to the use of a bus. So, Dedicated Hosting must be a lot like using a luxury car or a private jet. In Dedicated Hosting, you have total control and ownership with a heavy price tag. But, in Shared Hosting, you share space and get limited benefits for a small price. Both are unique and wonderful in their way. However, shared hosting is a good option for small startups and new business ventures that are short on funds and save money. However, as these businesses progress and grow, they want to expand and switch to a Dedicated Hosting Server.

Making an Informed Decision:

As both come with their pros and cons, the question remains: Shared Hosting or Dedicated Hosting? Choosing between the two can be a difficult task, and you must put considerable time and think into it. Don’t rush into this decision.

Study the two types of Hosting Servers carefully and understand how they will reflect upon your business. Do your research and study the plans that Hosting websites offer. Look over at your business and determine where you wish to see it in the next five to ten years. Evaluate your operation’s budget and see which option they align with best. Make an informed, realistic decision about what is best for your business and how much control is suitable for your organization.


Our primary concern is that you make an intelligent and informed decision that you do not regret later. So if you are still confused and wondering what to do, you can contact our expert system architects. They will help you evaluate your organization’s requirements to assist you in making a wise decision instead of selling you the priciest plan available. We have multiple data centers across the United States, Europe (Germany), and the United Arab Emirates. These centers are run by our dedicated and seasoned support staff members.

AEserver has over 16 years of web hosting experience. Over the years, we have assisted all kinds of businesses in formulating and developing hosting strategies that suit their needs best. Our advice has turned our clients into our partners (some of them even older than the new hosting companies that exist today). This is why, when we partner, we partner with our clients for life.

If you’re willing to explore the options and see what fits your organization, we’re here to help navigate you in the best direction for your company’s future. Partner with us and help us make the internet better for everyone.

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