| By :
Dirik Hameed
The predictions for web hosting in 2012 are that it might just continue into 2013 in spite of all the doomsday prophecies. Seriously though, there are unlikely to be major revolutions. In general there will still be a trend towards fewer providers with greater resources. This will be driven by cloud services which will continue to grow in popularity. There will however be a greater number of middle men as content management and reselling becomes easier. For small to mid sized operations there is an attraction towards cloud webhosting services. It does remove the risk of a website going down if it reaches its capacity. There is also the advantage that you only pay for what you use and so it allows for endless scalability. For new companies this also allows for the greatest amount of flexibility as they might be unsure how much they might grow. The reason that smaller companies find it more cost effective is that it is all managed by the service provider. There would be far less need for full time IT staff which would be a far bigger cost saving. For this reason we might see growth in this particular field but at the same time there will be a lot of IT people looking for new roles to fulfill. The biggest issues that there are with cloud hosting might still slow down its adoption for a while. The promise is of absolute reliability. Because there are multiple servers in various locations it can be guaranteed that no matter what the traffic demands are your website will be on a system which can handle it. The down side to this is that you might never know where your website is located. This creates security concerns for some because there are different laws governing protection of information in different countries and your content could end up anywhere in the world. Being moved around as much across various hardware locations is also considered less secure for your information. This isn't necessarily any more of an issue than on a dedicated server however. The trend that this is leading to is that there will tend to be fewer providers with greater resources. As it becomes easier to manage content across multiple locations there will be a tendency towards fewer providers who have much greater recourses. On the other hand this will create more opportunities for resellers. This is not likely to all happen by next year but is likely to become a trend. There will still be a lot of demand for VPS (Virtual Private Server) and co-location. It makes far less sense for companies to invest in their own data centers. Once you reach capacity on your own system it becomes a big problem to upgrade, whereas when you are renting, upgrading becomes very easy. Because it is becoming so easy to manage and create content there are likely to be very many more small operators who offer design and web hosting services. Organizations who want to manage their own content might opt for cloud services and outsource more IT consulting. In general however there are unlikely to be any major changes in the industry as a whole.
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