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09 May 2010
If you are planning to have massive amounts of files to store on your server, multiple websites, high traffic, or host online games or apps, you very well might plan on purchasing or absolutely need a dedicated server for this. A dedicated server in most cases is great to have and we are not trying to persuade you into staying away from it, but in some cases, there are some disadvantages to dedicated hosting.
Cost
The #1 disadvantage of a dedicated server is the cost. Dedicated servers have a monthly cost of $99 and up. It all depends on the hardware specifications. Typically, for a decent server, you will pay between $100 and $200, which is extremely higher than a shared hosting account. You can get shared hosting from $1 - $20 per month. Some high performance, high capacity servers are priced over $400 per month. Dedicated servers are usually not an option for startup companies.
Skills
If you are not VERY tech savvy, it is highly recommended that you do not purchase a dedicated server unless you have someone with server management skills to help you. Administrating tasks can be very difficult if you do not have the correct knowledge. A shared hosting account is already set up and you don’t have to worry about managing the server, it is all done for you.
Support & Scripts
Some companies will not offer as much support effort in a dedicated server package as their shared packages. Again, this is not all companies. Some will even offer more support for dedicated hosting. Shared packages also will generally offer preinstalled scripts and other features. Using a dedicated server, it is usually left to you to choose and install your scripts. Depending on whom you are, this can be good or bad. You might want to install your own stuff.
My suggestion is to use shared hosting if your company is just starting out and/or if you do not have server management knowledge. If you can afford it and you have extensive web hosting knowledge, a dedicated server can definitely be a plus.
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