What is web hosting?
Web hosting is the provision of storage space and computing power on an always-available server so that a website or application can be accessed on the internet. Providers run the technology; businesses rent the resources they need.

Web hosting: definition and purpose
A website consists of files, databases and program code. For visitors to be able to open it at any time, these components must be stored on a server that is permanently connected to the internet. Web hosting is the rental of such server space from a provider that takes care of the data center, power supply, network connection and basic maintenance.
A hosting plan typically includes storage space, one or more databases, email mailboxes, an SSL/TLS certificate for the encrypted connection, and backups. Domain and hosting are separate services but are often booked from the same provider. The server runs the software that generates your website, for example PHP and a database.
Hosting types at a glance
Which option fits depends on visitor numbers, the application and in-house know-how. A simple company website runs reliably on shared hosting; an online store or a custom-built web application usually needs more performance, guaranteed resources and controlled software versions. Anyone running their own software also needs access to the server.
- Shared hosting: many customers share one server—inexpensive, but with limited performance
- VPS (virtual private server): a virtual server with guaranteed resources and more control
- Dedicated server: a physical server just for your applications
- Managed hosting: the provider operates, updates and monitors the server for you
- Cloud hosting: resources are added flexibly and billed according to usage
Real-world example: when the site slows down on Monday morning
A tax advisory firm runs its WordPress website on an inexpensive shared plan. After a newsletter to all clients, loading times collapse and individual pages are briefly unreachable. The server is not broken; it has hit its resource limit because many customers share the capacity and the provider throttles during peaks.
The remedy is a plan with dedicated resources, complemented by caching and a content delivery network (CDN). It is important to plan the move so that email and website stay reachable in the meantime—which also means carrying over the DNS entries cleanly and choosing a switchover time outside office hours.
What businesses should look for when choosing
Besides price, availability, speed and security matter. Check, for example, which PHP version is supported: older versions no longer receive security updates; for PHP 8.1 they ended at the end of 2025, and for PHP 8.2 they end at the end of 2026. For GDPR purposes, the location of the data center and a data processing agreement are also important.
Nano Concepts advises on the selection, sets up hosting environments and, if you wish, takes over operations, updates and backups, so your website runs reliably and your team does not have to deal with server issues. If needed, we first check whether your existing environment is sufficient for the planned project.
- Availability (uptime) and support hours stated in the contract
- Automatic, separately stored backups with a restore test
- Current PHP and database versions
- Data center location and a data processing agreement under the GDPR
- Scalability in case visitor numbers or functionality grow
Frequently asked questions about Web hosting
Simple shared plans are available for just a few euros per month. For online stores, VPS or managed hosting, costs are considerably higher, depending on performance and support. What matters is less the price than the right capacity for your application.
Yes, a website needs some place to run. With website builders and SaaS stores, hosting is included in the price. With WordPress, Shopware or a custom-developed application, you usually book it separately.
The domain is the address of your website; web hosting is the place where the content is stored. The two have to match: DNS entries direct the domain to the host’s server.
Switching is worthwhile if the site is often slow or unreachable, outdated PHP versions are running, or backups and support are missing. With growing traffic or new requirements, such as an online store, a more powerful plan may also become necessary.
Matching services

Databases & Cloud
Data architecture, migration and cloud hosting – high-performing, secure and, on request, in German data centers.
Learn more
Cloud Migration
Assessment, strategy and migration of your servers and applications to the cloud – in German data centers on request.
Learn more
Maintenance & Support
Updates, monitoring, backups and further development – so websites, apps and software run reliably.
Learn moreRelated terms
Relevant for these industries
Related magazine articles

DevOps and GitOps: CI/CD Pipeline, Quality and Reproducible Releases
Releases without the nerves: how a CI/CD pipeline, infrastructure as code and a rehearsed rollback plan make software delivery reproducible and measurable.
Read more
Cloud Scaling for Platforms: Find Bottlenecks, Control Costs
More servers rarely solve the real problem. How to scale web platforms deliberately: measure bottlenecks, fix the database and cache first, and keep costs and resilience under control from the start.
Read more
Software Maintenance: What a Maintenance Contract Should Include
Software is never finished. Which services a maintenance contract should include, how to separate maintenance, support and further development, and what scope your software really needs.
Read more