There is a lot of talk these days about cloud computing or cloud hosting. Many companies are using these terms loosely to discuss either VPS or cloud servers (public or private). But, what do these terms mean? You will definitely see a difference when you look at the price tag, so understanding what each of these services are will help you in your quest to determine the best option for you or your company.
Rather than being hosted on one single instances of a physical server, hosting is delivered on a virtual partition which draws its resource, such as disk space, from an extensive network of underlying physical servers. If one server goes offline it will have no effect on availability, as the virtual servers will continue to pull resource from the remaining network of servers.