If you get a hosting machine of your own, it will operate independently, so it'll have its own Operating System and you'll be able to later install server side programs directly or script-driven sites via a hosting Cp. While keeping the Operating System updated isn't always considered an absolute necessity, it can be a quite important task for a number of reasons. A newer OS version may have better support for certain hardware, so you might get better performance for the internet sites and web applications that you install. Your server will also be more secure since updates often include security patches that take care of small issues which may allow unauthorized people to access your content. Last, but not least, current script versions, which are also released for both improved security and for additional features, may require a later version of the Operating System in order to work correctly and with their full capabilities.