Web hosting is a service provided by a hosting company to host your files, probably files that constructed a website or any files that you can think of. The server that hosted the files was located in a data center and will be online or accessible by the users 24 hours a day. A team of technical specialists will be assigned to look after the servers to ensure that they are immediately fixed if any problems occured.
However, basic hosting packages offered are shared-hosting where the customers rented a space on the server owned by the hosting company. Due to a server is to be shared by multiple customers, the company will limit its resources to each of the space rented. The resources are storage space, data transmission bandwidth, CPU, memory and many more.
For a hosting plan below RM400 to RM500 a year, the server was usually shared by 200 to 300 websites. There are many packages offered and allocated on different servers that will take the loads. For example, the server hosting a Semi-Dedicated plan will be shared by about 20 websites. Hence, the customer will enjoy more resources and the website was able to handle heavier traffics. A Semi-D hosting plan is priced at about RM2,000 a year.
The plans come with email hosting for most of the packages offered. Again it will be limited by total email accounts supported based on the plan that you have subscribed.
Owning a server is expensive. Placing it at a data center require monthly rental. But if your website has a successfully very heavy traffic, it is where your revenue turns into maintaining your own server. It is no difference to owning a bungalow. What's wrong to get one if you can really afford it? Cheers!