Dedicated hosting services are needed by large websites that generate high volumes of traffic. These websites often start by using a shared server but need to scale operations to meet the demand. There are also some companies which need huge storage space, and are not willing to share space with smaller companies.
In both these cases, dedicated hosting providers prove useful. They are medium-sized or large companies and in a position to provide dedicated resources. In contrast, the small web hosts do not have the financial or technical muscle to provide dedicated hosting.
A host that provides dedicated services needs to lease the whole server, rather than a portion of it. He can do this only if he has several servers in the first place. To do this, the web host needs to make large investments in hardware and software, and also maintain a technical team to meet client needs.
This is not all. The web host should be in a position to provide the hardware and the software that a client wants. This may mean extra investment. The hosting service will, of course, recover the investment by charging hefty fees but this return will only come in later. Initially the investment has to be made to attract clients.
The hosting service also has to plan for redundancy. This industry is 1 where developments are fast paced, and what may be latest technology today may become completely outdated by the end of the year. The web host therefore needs to upgrade technology regularly to be able to provide state-of-the-art equipment.
The web host should also be able to provide both managed and un-managed hosting. In the former case, the web host should have a technical team that should take care of all troubleshooting. The client is only responsible for content hosting. In the case of un-managed servers, the host provides the physical security, storage space and the bandwidth. The rest is a client's problems.
All web hosts are not the same and one needs to check the level of customization and up-gradation being offered by different hosts. 1 also needs to check the safety and security of data. There should be no holiday ins and the site should be secure against mischievous attacks. This means that the web host must build proper firewalls to keep the hackers out.