One significant benefit is that all of the software required to run a server (including the operating system) is free and open source. It also doesn't require a lot of CPU power, so you can typically get by with used equipment. All of this enables you to quickly set up a server at a minimal cost.
For privacy and security reasons, some people prefer not to use cloud hosting for their websites, images, videos, music, and other information. Others have unique requirements for their home network that cloud providers are unable to meet.
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