I have been long time confused about this simple two types of hosting and atlast i understood the difference between colocation and dedicated hosting.
Colocation
You have to buy server equipment and the co-location service provider gives you all internet facilities in their location like internet connection, safety of your equipment, surveillence and more.. Further the software and administration your responsibility. Simply put take your server hardware equipment from your home/office to your co-location providers office and fit it there. It is generally expensive!
Dedicated
You dont buy server hardware equipment, instead your webhost will give all necessary hardware for monthly rent. And ofcourse, it could be managed or unmanaged one depending on the costs.
Hope you now understood the difference between the two!
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