Cloud hosting's use of multiple servers gives it certain advantages over traditional hosting. For example, if your website experiences a sudden traffic spike, it can pull resources from another server to prevent slow page loads or, worse, the site going down. In addition, cloud hosting makes it incredibly simple for your to scale resources up or down, as needed.
Cloud hosting is an alternative to hosting websites on single servers (either dedicated or shared servers) and can be considered as an extension of the concept of clustered hosting where websites are hosted on multiple servers. With cloud hosting, however, the network of servers that are used is vast and often pulled from different data centres in different locations.