"Cloud Hosting" might be used from many irresponsible people as a phony, marketing term, but it actually has a technical explanation and it is "a Web hosting service provider from a computing infrastructure built with Cloud computing, where the processing nodes (servers) that offer CPU, RAM and do the processing operations are physically separated from the Storage Nodes (Storage Area Network or Storage Servers)".
So, if any company claims to offer any kind of Cloud-based service they have an obligation to explain what kind of infrastructure they use to provide Cloud Hosting services.
You your question @livsn85. When you Shared Hosting account or Virtual Server is hosted on any Cloud infrastructure, you can scale up processor (CPU) and memory (RAM) resources, without interruption of the services (or wit very minor interruption). There are also services like "High Availability" and "Fault-Tolerance", which ether minimize any possible service downtime or even unsure real 100% service uptime.