In telecommunications, a centralized, or centralised (see spelling differences

American and British English spelling differences

One of the ways in which American English and British English differ is in spelling.-Historical origins:In the early 18th century, English spelling was not standardized. Differences became noticeable after the publishing of influential dictionaries...

) system, is one in which most communications are routed through one or more major central hubs. Such a system allows certain functions to be concentrated in the system's hubs, freeing up resources in the peripheral units. Another benefit of centralization is the ease of maintaining accurately updated lists of data that can be easily accessed from all points. Centralization's weaknesses are centered around the system's heavy reliance on a few central components; if the system's hubs are put out of operation, either accidentally or through hostile action, the system and its peripheral components are severely affected.

In the computer world, centralization most frequently refers to File Sharing

File sharing

File sharing is the practice of distributing or providing access to digitally stored information, such as computer programs, multimedia , documents, or electronic books. It may be implemented through a variety of ways...

 and Networks

Computer network

A computer network, often simply referred to as a network, is a collection of hardware components and computers interconnected by communication channels that allow sharing of resources and information....

.