Shared hosting is a web hosting service where multiple websites share a single server's resources, such as CPU, RAM, and disk space. This makes it a cost-effective solution for individuals and small businesses looking to establish an online presence without the need for extensive technical knowledge. In shared hosting, the server is managed by the hosting provider, which handles maintenance, security, and updates. This allows users to focus on their website content rather than server management. However, shared hosting may come with limitations in terms of performance and customization compared to dedicated hosting options.