It is very important to know the difference between shared and dedicated IP addresses when finding a web host. Some websites don't need a dedicated IP address and can function just fine on a shared IP. Many times though a dedicated IP is preferred over shared IP addresses

Since the majority of sites on the Web are hosted via shared IP, most of our hosting customers don’t need a Dedicated IP. However, you might consider paying the small additional cost for Dedicated IP if:

• You want to access your accounts by FTP as well as the Web when the domain name is otherwise inaccessible, such as domain name propagation periods.

• You want your site to be backwards-compatible with older browsers.

• You want to create a corporate intranet.

• You need a faster response with high traffic loads.

What is a Dedicated IP?

Larger websites or ecommerce enabled sites have dedicated IP addresses. This means that your site is the only one on the internet using that unique IP number.

If you have advanced hosting needs, Dedicated IP may be for you. A Dedicated IP means each web hosting account has a unique address, not shared by any other accounts on the same server.

If you have a business oriented website then you probably will need a dedicated IP address for your site. Especially if you have a merchant account and accept credit card payments on your site. You can't even get an SSL certificate for your website until you have a dedicated IP address. You can get around this by using a Pay Pal shopping cart or something else hosted off your site. But, most people don't like the idea of sending the customer to a new address to close the deal.

There are also the SEO or search engine optimizations concerns to consider. Many people have found that sites with a dedicated IP address do mysteriously better in the search engine results than those utilizing shared IPs. Often time’s security concerns drive people to upgrade their hosting account to include a dedicated IP address.

The bottom line is that both shared and dedicated IPs can be useful depending on what kind of website you own.

Who Needs a Dedicated IP Address?

Most shared hosting users have little need for a dedicated IP address. However, a dedicated IP address does provide certain advantages.

Generally speaking, a dedicated IP allows you to:

• View your Web site via its IP address.

• Access your accounts by FTP or the Web when the domain name is otherwise inaccessible, such as during domain name propagation periods.

• Ensure faster response during periods of high traffic load.

• Set up SSL protection on your Web site.