A cloud based server is a virtual server rather than a physical device. This means that it operates in the same way as a physical server but is defined through software and is located in the provider’s cloud environment rather than in an organization’s premises. It is implemented, hosted and delivered through a cloud computing platform and is accessed remotely through the internet. A cloud based server will have all the software required installed on it and functions as an independent server so that from the user’s perspective it operates in exactly the same way as a physical server.

The cloud typically refers to a large number of servers located in the cloud provider’s premises; the term cloud was used by software engineers in the past to refer to computing services where the user does not know the specifics of how they are implemented.