The term server is used for two kinds of things: A computer program, that is in the broadest of senses, providing some sort of service on the network. This means, it listens on some port on at least one network card for connections. When contacted, it does facilitate some sort of function (“serves”). In the gaming sense, servers usually refer to a computer program that either handles meta data for other game servers, or provides an actual game server/service by itself.
The other use for the term describes a computer, that runs such a service. This can be any kind of machine, just as long as it runs at least one service meant to be used by other hosts on the network. Such servers can range from small single board computers (e.g. Raspberry Pie) to potent computers with much RAM and hard disk space, as well as fast CPU(s) and network card(s), depending on the performance requirements of the hosted services.
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