According to Business News Daily, cloud hosting:
Cloud hosting is a service that exists on multiple servers. Instead of on one shared server, your site is hosted in the cloud. This means the company can bounce your website hosting between servers as it adjusts to performance spikes and other stresses. Cloud hosting is more dynamic than shared hosting, and this means it can perform better and be more secure than some shared hosting services.
Shared hosting servers are servers with multiple websites on them. Web hosting companies build and maintain these servers, and they place a bunch of websites on them. This means if your website is hosted on a shared server, it’s vying for the same resources as many other websites. Some companies pack a ton of websites onto each server, which can throttle your website’s speed and performance. It can also present some limitations in security.
Cloud hosting provides its users with many tools and softwares that can enhance website loading speed and maximize the security.