Web hosting is an unsung titan of the tech industry. There is a vast ocean of domain and hosting providers that help web owners from all over the world claim their slice of the pie.
I know you’re here to claim a piece for yourself too. Grab a knife: from market share data to information on specific providers, these web hosting stats will provide you with a better understanding of what’s cooking in the web hosting space.
There Are 330,000+ Web Hosting Companies Worldwide
If you google how many web hosting companies there are, you’ll get a few different answers. However, the consensus is that there are more than 330,000 web hosting companies across the globe, though the exact number is unknown.1
Taking into account that this information is based on data that is a few years old, it’s likely that today’s number is considerably higher due to the web’s expansion.
Market Share of the Largest Hosting Companies
The web hosting industry is massive (and ever-growing), so there’s a good chance you’ve heard of the top web hosting providers. AWS and Shopify, in particular, are household names.
Market Share of the Top 10 Largest Web Hosting Companies
Company | Market Share |
---|---|
1. Amazon Web Services | 5.4% |
2. Shopify | 4.6% |
3. Newfold Digital | 3.4% |
4. Hostinger | 3.3% |
5. OVH | 3.1% |
6. Wix | 3.1% |
7. GoDaddy Group | 2.6% |
8. Hetzner | 2.6% |
9. United Internet | 2.5% |
10. Squarespace | 2.2% |
In addition to the chart above, I’ve compiled more information about the big three: AWS, Shopify, and Newfold Digital. These giants make up 13.4% of the entire market. Read on!
AWS Is the Largest Web Hosting Company With a 5.4% Market Share
When you think of web hosting, web hosting providers like Hostinger and GoDaddy might come to mind.
While Amazon Web Services (AWS) isn’t a “traditional” web host, we all know it isn’t a one-trick pony — it has the largest market share among web hosting companies, at approximately 5.4%.2 Considering it offers a wide array of cloud services, from basic hosting and deployment to analytics and machine learning, you shouldn’t be surprised.
With its comprehensive package that combines numerous services and tools, AWS is perceived as the go-to, one-stop solution for many. The question is, are you ready to jump on the bandwagon?
- Nearly 86 million live websites use AWS as their hosting provider.3
- Out of the top 1 million websites, 262,643, or 26.26%, employ AWS.4
- Some of the biggest brands in the world are AWS customers, including Netflix, Reddit, BBC, Bloomberg, and Yahoo.
It’s pretty cool that high-traffic websites like Netflix and BBC favor Amazon’s subsidiary, AWS. If you can connect the dots, this is likely due to its widespread network of robust data centers.
Shopify Has a Market Share of 4.6%
While I’m all for setting up a physical shop and sitting there throughout the day, you’re not a true businessperson if you don’t explore the potential of online shopping. Even if you aren’t tech-savvy, web hosts like Shopify can help you get started with minimal fuss.
There’s a reason why around 4.6% of the industry’s market share is in the hands of Shopify — its all-in-one solution makes setting up and managing an online store a piece of cake.2 So what are you waiting for? Grab your slice already!
- Approximately 5.3 million live websites use Shopify5
- Out of the top 1 million websites, 28,995 or 2.9% use Shopify4
- Sites using it include Vanity Fair, Sears, Vogue, and Kylie Cosmetics
I’m guessing Kylie Jenner’s association with Shopify is one of the reasons for its meteoric rise, showcasing its effectiveness for beauty and fashion entrepreneurs.
Newfold Digital Has a Market Share of 3.4%
Before I started my research, I had never heard of Newfold Digital, and I’m guessing you might be in the same boat. It turns out Newfold Digital operates a network of well-known brands, including Bluehost, HostGator, Web.com, and Reseller Club — take your pick!
These web hosts combined have a market share of approximately 3.4%.2 HostGator is my favorite of the bunch, so I’ll use it as a reference.
- More than 700,000 live websites use HostGator6
- Out of the top 1 million websites, 1,170, or 0.17% leverage HostGator4
- Some of its notable clients include the State of Nebraska, CodexWorld, Cheap Joe’s Art Stuff, and Comfortable Shoe Guide
If you’re looking for a more traditional hosting experience for your eCommerce venture, I suggest Bluehost.
To put it into perspective, several high-traffic websites use it with WordPress, including Progressive Leasing (sales revenue of $2B+), Vail Resorts (revenue of $2B+), and Cvent (revenue of $630M+).7
Market Share of Web Hosting Types
Web hosting is kind of like pizza. There are a million types, and everyone has their favorite. However, there are a select few that are more popular than others — the pepperoni and cheese of hosting, if you will. The following hosting types make up the majority of the market in terms of revenue.
Shared Hosting Has a Market Share of 37.64%
It’s time to step aside from web hosting providers and focus on web hosting types. I had no doubt in my mind that shared hosting is the market dominator, and I was right — its market share is around 37.64%.8
If you’re looking for an entry-level web hosting plan, shared hosting is probably all you need — it’s a common choice for many individuals and small businesses with low-traffic websites.
But what is it exactly? Under a shared hosting plan, you’ll have to share a single server with several other users, which means that resources like RAM and CPU power will be distributed among several websites.
Dedicated Hosting Has a Market Share of 27.90%
I won’t lie to you — I’m surprised dedicated hosting is second on this list, with a market share of approximately 27.9%.8 The reason for my bewilderment is simple: unlike shared hosting, dedicated hosting offers exclusive access to one or more servers, which means it’s around 10 times more expensive than shared hosting on average.
Of course, if you have the financial might to run an independent server for your website, you’ll enjoy improved performance, enhanced security, and complete control that allows diverse customization options.
If you own a high-profile business and want to bring it online, dedicated hosting is a fascinating choice. It’s ideal for businesses with high-traffic websites and those that require top-of-the-line performance.
Colocation Hosting Has a Market Share of 27.90%
Colocation hosting is intriguing and may seem similar to dedicated hosting on paper, but there are some key differences.
In dedicated hosting, you rent server hardware that’s managed by the hosting provider. In colocation hosting, you can rent space in a data center facility to host server hardware you own. The facility is responsible for power, cooling, and internet connectivity, but you retain control over your hardware and data.
If you’re a medium or large business owner, colocation hosting could be a viable option for you if you want to eliminate the costs associated with maintaining your own facility.
Liquid Web, InterServer, and Equinix are some of the best colocation hosting providers, and this service accounts for around 27.90% of the market.8
There Are 1.1 Billion Websites in the World
Even though the exact number keeps changing every day, I have it on good authority that there are nearly 1.1 billion websites worldwide, give or take a few hundred or thousand (it’s a rapidly shifting scene out there, my friend).9
When it comes to engines powering all these sites, WordPress reigns supreme. Around 43.6% of these websites use WordPress, which represents approximately 480 million websites (I’m awesome at math).10
Fun fact: Roughly 71% of businesses have a website these days, largely driven by the ongoing shift to cloud and code-free website builders.9 I’m willing to bet this number is even higher today. If your business is among the remaining 29%, this is a clear sign to start working on your web presence ASAP.
Revenue in the Web Hosting Industry Will Reach $159.9B in 2024
Nine is surely your lucky number of the day, as it’s time to hit the nail on the head — the web hosting industry is massive and you need to get involved. This stat will blow your mind: revenue in the industry is projected to reach nearly $160 billion in 2024.11
This indicates the market is on the rise, and for good reason — every business should have a website. Here’s one final stat for you: the market is predicted to generate revenue of around $355.8 billion by 2029.11 Be a part of the change!
The Internet Is Not Slowing Down
It’s difficult to quantify how important web hosting is for any business, let alone one that is up-and-coming.
The era of tech-based convenience and online shopping we live in means many businesses have to rely on a strong and memorable online presence in order to reach their target audience. Even if you’re part of a family business with strong traditional roots, you have to build a website for it. It’s as simple as that.
Picking out good hosting for your site is far from an easy task. I get it. With seemingly countless providers offering enticing services at varying price ranges, you have your work cut out due to the sheer magnitude of choice.
With the help of these web hosting statistics, I hope you got a better picture of what the situation is like when it comes to hosting providers and that you can subsequently leverage it in some way to stay ahead of your competitors.
Take a look at some of our guides at HostingAdvice to understand which web hosts may be the best fit for you. Happy hosting!
Sources Used to Compile This Data
The numbers and percentages used in this article are from internal research and reputable sources. If you’re interested in more details, check out some of these sites.
- https://colorlib.com/wp/web-hosting-statistics
- https://w3techs.com/technologies/overview/web_hosting/
- https://trends.builtwith.com/websitelist/amazon/
- https://trends.builtwith.com/hosting/
- https://trends.builtwith.com/shop/shopify/
- https://trends.builtwith.com/hosting/hostgator/
- https://trends.builtwith.com/joins/wordpress-using-bluehost/
- https://www.demandsage.com/web-hosting-statistics/
- https://www.forbes.com/advisor/business/software/website-statistics/
- https://w3techs.com/technologies/details/cm-woocommerce/
- https://www.statista.com/outlook/tmo/it-services/it-outsourcing/web-hosting/worldwide/