Cloud hosting

With traditional web hosting, you buy or rent a physical machine - a server - that gives you resources like memory and processing power. With cloud hosting, you effectively rent virtual server resources from a provider, and you can scale them up or down as your needs change. This can make it easier and more cost‑effective for growing businesses to manage their websites.

How does cloud hosting work?

Cloud hosting spreads your website across multiple virtual servers instead of a single physical machine. The cloud provider allocates resources such as processing power, memory and storage when your website needs them. You typically pay only for what you use, so you do not need to buy extra hardware in advance. 

Cloud hosting is often delivered as a service over the internet, using models such as:

• Infrastructure as a Service (IaaS) - where you manage most of the software and configuration yourself
• Platform as a Service (PaaS) - where the provider manages the underlying platform, and you focus on your website and applications
• Software as a Service (SaaS) - where you use fully hosted applications, such as email and content management systems, without managing the server at all

Is the cloud a server?

The cloud itself is not a single physical server. A server is physical hardware, dedicated entirely to your business or shared with others. A cloud server is a virtual server created and managed by a cloud provider within a shared environment. It behaves like a traditional server but can be created, resized or removed quickly as your business needs change.

You can choose from several types of cloud services for full or partial hosting. Cloud hosting is increasingly popular with small and medium‑sized businesses because it can reduce the need to buy and maintain physical hardware, and can be easier to scale up during busy periods.

Cloud web hosting risks and considerations

When considering cloud hosting, think about the following.

Connectivity

You will need a reliable, high-speed internet connection at your business premises. If your connection fails, you may lose access to your website and data until it is restored.

Cost of ownership

Cloud services are often billed monthly, which can be good for cash flow, but you should compare the total cost over a longer period with more traditional software or hardware options.

Service level agreement

Check the conditions of your service level agreement - what uptime is promised, what happens if something goes wrong, who is responsible, and how quickly issues are meant to be fixed.

Data security and compliance

Make sure you understand where your data is stored, how it is protected and whether it is encrypted. You should also ensure your cloud provider helps you meet your legal responsibilities, including those under the UK General Data Protection Regulation (UK GDPR).

If you are unsure whether cloud hosting is right for your business, read about the advantages of cloud computing and find tips for moving your business to the cloud.