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no you can host your own server.
Well, you can have a friend or someone host a private server, then you enter the game using those. You can also host your own private server and give others the codes.
Yes other people can create a server for you,but if there is a whitelist you have to be accepted.You also have to get special free software to host a server.
Pay for a server/host your own server. If you host your own, it will be laggy for other players because you have poor upload from home.
You could use one of the many websites that you pay for them to host them to host the server, complete with many Bukkit plugins, ServerCraft being one. But if you want to host a server, and start it out from scratch, you could go to the top link in "related links" and download the "Multiplayer Beta Server" at the bottom of the page. It may help to follow a guide as to setting up the server on YouTube.