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Indeed you don't - because renting one dedicated server box that you can run two full 80-man Squad servers on doesn't cost that amount of money; more like +/- $150, the exact amount depending on who you go with / what sort of rig you want to rent. If you only want to run one 80-man server, for example, you can go for a cheaper package and get one for around $100.
The two environments have plenty of overlapping qualities, but most importantly Dedicated Server render greater security, customization and excellent availability. With granular control, you are free to customize hardware components like disk space or RAM and installation of unique operating systems. More substantial computing power (CPUs) and disk space allow Dedicated servers enhanced performance for high amounts of traffic. When uptime and performance are critical to your business Dedicated Servers are second to none for hosting.
Launching a business-focused website is not a simple task, as you must build your online destination with commerce, search engine optimization, security, and other factors in mind. For a rock-solid website foundation that can withstand high traffic volumes and let you install your own scripts, however, a dedicated server is an easy choice—if you can afford one.
Once you are ready to go ... remove the password, start up the game, strip your character down to their tight whities (placing everything into a crate), turn the monitor off, and wank away. Note that your host character will die shortly thereafter but the game will run on and external players can come and go as they please (assuming you/they don't have any connection issues).
A dedicated server allows a client the flexibility of customizing the server to the clients unique needs for CPU, RAM, disk space and software. With shared hosting, a customer is limited to the applications, software and operating environment already loaded on the server. They may either offer software a client doesn’t need or lack things that they do.
Building your website on a shared server means that your pages may be affected by a neighboring site that devours too many server resources. For example, if that site receives a huge spike in traffic, your pages might load slowly—or not at all. Investing in a dedicated server greatly reduces this potential problem, plus it gives system administrators greater control over the apps and scripts that they can install on the server, too. Shared hosting is far more limited when it comes to what you're allowed to do, because everything you do could potentially affect the other sites with which you share the server. When you've got the server all to yourself, your scripts and apps won't impinge on anyone else's bandwidth or RAM.
One of the reasons for choosing to outsource dedicated servers is the availability of high powered networks from multiple providers. As dedicated server providers utilize massive amounts of bandwidth, they are able to secure lower volume based pricing to include a multi-provider blend of bandwidth. To achieve the same type of network without a multi-provider blend of bandwidth, a large investment in core routers, long term contracts, and expensive monthly bills would need to be in place. The expenses needed to develop a network without a multi-provider blend of bandwidth does not make sense economically for hosting providers.