It is a cluster of servers forming a cloud. It does load balancing for your website. If your website traffic fluctuates-hitting highs and lows-dedicated server would be a costly option as you end up paying for unutilized resources-CPU Utilization, Ram, Processor Power etc. Also, if high traffic is causing strain on the limited resources on your shared server, it might be a good idea to switch to a cloud server.

Cloud server hosting has various advantages:

-Scalability: It can offer as much support as your website needs. More servers would be directed towards your site at the time of high traffic period. This way, degradation of service due to high congestion becomes out of question.

-Isolation: You are not perturbed by any other action taking place on the server. Other sites cannot have a negative impact on your website, which is often the case in shared servers.

-Better Control: In cloud server, you can modify server configuration flies, install applications or modify system software as per your need.

-Less cost: Cloud server hosting is cheaper than dedicated server hosting as you pay for what you use. In dedicated server, there is a fixed amount you need to pay even if your usage is less.

Hence, these factors make it a very popular choice. Cloud server hosting is establishing its name in the world of cloud computing offering state-of-the-art services as per customer's need.