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I remember that someone told me that FTP is no longer used to transfer files to the server (hosting) and it has left me thinking. I know that there is also the SFTP, but not all of them support this protocol and if it is not FTP, what protocol is used today?

My operating system is Windows 7.

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FTP is still used, depending on the host. However plain, unencrypted FTP transfers are unusual nowadays. More often, FTPS (FTP over SSL) is used. FTPS is still essentially FTP for practical purposes but runs with 2048 bit Transport Layer Security (TLS), much like HTTP vs. HTTPS. Note that FTPS and SFTP are two different things.

Regarding web hosting, the only other file transfer method I've seen used regularly (besides what's been discussed) is WebDAV.

That said, if you are talking about renting servers or certain services that offer some variation of web applications, you might have FTP over SSH where FTP is tunneled via SSH (which is not the same as SFTP or FTPS). Otherwise, as @davidgo mentions, SCP (Secure Copy) is another method of transfering files.

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FTP hosting is stil common, as is sftp and scp - it really depends on the hosting provider, source and nature of what is being hosted. Other mechanisms exist as well.

FTP has (at least) a couple of issues - it's not encrypted, so data - including passwords - can be intercepted - and it's a messy protocol which is comparatively hard to implement.

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