What are Dedicated Servers?

Generaly dedicated servers are used for web hosting ie. A single server dedicated to a single customer. Most appropriate for users that require lots of disk space or data transfer, as well as sites that are database intensive or have specific software requirements. The term dedicated server refers to an advanced form of web hosting in which the customer rents, and has complete control over, an entire server. Internet connectivity is provided to the server, in many cases over 10 or 100 Mbit/s Ethernet. Dedicated servers are most often housed in data centers, similar to colocation facilities, providing redundant power sources and HVAC systems.
In the Web hosting business, a dedicated server refers to the rental and exclusive use of a computer that includes a Web server, related software, and connection to the Internet, housed in the Web hosting company's premises. A dedicated server is usually needed for a Web site (or set of related company sites) that may develop a considerable amount of traffic - for example, a site that must handle up to 35 million hits a day. The server can usually be configured and operated remotely from the client company. Web hosting companies claim that the use of a dedicated server on their premises saves router, Internet connection, security system, and network administration costs.
In renting a dedicated server, the client company may be required to use a specified computer system or may be offered a choice of several systems. Some host providers allow a client company to purchase and install its own computer server at the host provider's location, a service known as colocation.