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A Content Distribution Network (CDN) is a network of servers distributed geographically. The purpose of a CDN is to deliver content on the internet much faster. If a user in Toronto is trying to access your website, the closest server to them will take care of this. But someone coming to your website from Sydney, Australia, will be catered to by a server closest to them. The main host server holds your website content, and all the other servers have a cached version each.
You can also find that some WordPress-centric hosting companies, like WPEngine offer expensive managed hosting services. It’s built specifically for running WordPress websites on it, and it’s optimized for speed, security, and scalability. Such services also come with many enhanced WordPress-specific features, which are not necessary for users who’re just starting out.