How?

Hey can someone explain to me exactly how the severs work....And all the carcaters are on one sever?

Yes, all of the characters are on one server, but they are split up into different districts within each town. This way, there is not an insane amount of people in one city. So for example, when you enter a city, you may be placed in district 1, and one of your friends is in district 5. To see eachother, you can simply change to the same district.

Yes, there is basically one server. There are more, But the other servers are generally for other countries, Because they speak different languages.

i cant but since i have been in it several times i can say it works which is all i care about

from what i understand, Arenanet will set up network servers in key locations throughout the world. these network servers are interconnected and can dynamically share the user load. users connect to the closest network server, but due to the high interconnectivity, are able to play with anyone else in the world. there will be a "worlds" subcategory, divided presumably by your language preference, however this division does not prevent you from playing with people from other "worlds". this "single shard" is accomplished through the establishment of one of the most efficient networks made for a game to date -- the instancing and use of districts further balances the low bandwith usage.