Hosting is the act of storing some element of the SharePoint environment. Sounds pretty straightforward, right? For SharePoint 2013, there are different methods of hosting and different aspects of the environment that can be hosted. The two major components that can be hosting include the various servers and the new kids on the block, the applications. The combination of server hosting and application hosting details the type of environment you have. The valid options for hosting a server are On-Premises, hosting in your own private cloud, 
hosting in a dedicated cloud run by another organization, or hosting in a public cloud owned by another organization. Our TechField consultants recommend On-Premises and here’s why:
SharePoint On-Premises, more affectionately known as On-Prem, is housing servers for a SharePoint environment in a physical datacenter that you control. The infrastructure can be a mixture of physical hardware and virtualized servers. The hosting of the servers will define the type of SharePoint 2013 utilized. By making this decision, it will also dictate the types of technologies and programming languages at your disposal. So what are the advantages to this?
Central Admin Control
One big advantage On-Prem gives is a full fledge Central Administration for governing SharePoint 2013. When it comes down to making customizations, On-Prem provides the ability to develop using either server-side code or client-side. As a matter of fact, if the aim is for server-side developing, On-Prem is the only option. On-Prem offers the most feature-full serving in the SharePoint 2013 field. That said, it’s not faultless — any updates that need to be made, On-Prem will be the last to get those improvements.
Scalability
As the organization grows, so will the abilities of On-Prem. It scales extremely well for most services. That’s good news for any organization with a need for a flexible foundation to support an elastic user base or one that’s anticipating growth. The biggest advantage here comes in the form of the architecture itself. Not only is full access to the web application layer and farm level permitted, but the size of the site collection can exceed 100GB (the limit in shared cloud offering). The offsetting factor is cost association. Being responsible to acquire the resources (buying servers, replacing servers on average every 5 years), operational costs (think utilities, administrators, cooling) and physical devices can add up quickly.
What’s the consensus?
Is your desire to use the familiar server-side code? Do you have a large organization with an extensive user base or data in excess of 100 GB? Are you looking to have the most full featured version or full control at the farm level? If you answered yes to any one of these questions, then SharePoint 2013 On-Premises is the way to go. The number of positives certainly outweigh any negatives associated. Choose On-Premises and your organization will get the most out of SharePoint.
What does your organization use for SharePoint hosting and why? Leave a message in the comments section below!