Server Space is simply the amount of "stuff" you can put on your web site. Server space is usually listed in megabytes (MB). One character of text uses one byte of space. And a megabyte is 1 million bytes. HTML files are usually quite small but pictures, multimedia and software can get quite big. Your scripts, emails and stats will also take up space on your host.
Data Transfer is the amount of "stuff" that visitors to your site can download before you reach your monthly limit. Data Transfer is measured in gigabytes (Gb, or billions of bytes). After the transfer limit is reached for the month, you will need to pay extra for additional transfer at higher rates, or upgrade to a larger hosting package.
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