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What is shared (virtual) web hosting?

Shared (or virtual) web hosting is the most fitting way of hosting for 99% of web sites. It means that a web hosting company (mumbaihosting.com) will have one or more servers (computers constantly connected to the Internet that run a web server software such as Apache or IIS) that will be running multiple web sites (it will be shared). Unless a web site is exceptionally busy or requires a lot of bandwidth, this is the least expensive way to get a real web site. You can still have your own IP address with virtual hosting and the site won't look any different to users. Other options are dedicated, co-location, or doing it yourself web hosting. In those options you have the whole computer to yourself and you can do things like install your own software.