When a Managed Services Provider leases dedicated servers to a single customer and tackles the hardware, software and technical support for maintaining and monitoring the system, it is called Managed Hosting. It helps customers circumvent hardware ownership costs and eases the IT department from the daily management of IT systems. The infrastructure is hosted at the service providers data centre and not on the customer’s premise. Some providers offer fully Managed Hosting services while others provide the option to choose from specific services. Two important criteria differentiating providers are, the degree of control that a customer is presented and Service Level Agreements which determine the service standards and the performance of the provider.