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A hosted software refers to software that is installed, hosted, and accessed entirely from a remote server or location.
Hosted software is hosted and managed by the software manufacturer or a third-party vendor and can be accessed online from anywhere. Even though cloud computing and hosted software are sometimes used interchangeably, they have different purposes and benefits. Hosted software belongs to a third party and is installed at a data center or ‘hosting center,’ where either physical or virtualized servers are set up. Hosted software is implemented the same way an ‘on-premise’ software would be.
Cloud computing is the delivery of computing services—including servers, storage, databases, networking, software, analytics, and intelligence—over the Internet. Everything is virtualized, so your applications don’t run on a server.
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