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June 28, 1999 |
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ASPs Emerge for Application Outsourcing Many sites are content to outsource routine IT management functions such as PC maintenance; why not do the same for applications? In our age of ubiquitous Internet connectivity, some organizations are eyeing the benefits of Application Service Providers (ASPs), which host business and personal productivity applications and deliver them to your desktop, often using a remote-presentation protocol.
Telecomputing ASA (www.telecomputing.no), a Norwegian company, has partnered with Uunet WorldCom to provide application services globally over the Internet. The company, founded in January 1997, offers a portfolio of products to customers on three- to five-year contracts for a fixed monthly price. Telecomputing operates the data center, and owns and manages the applications and network infrastructure. The company claims more than 40 customers and contracts worth $7.5 million a year. The potential for ASPs extends beyond remote-presentation technology. Leading application and infrastructure vendors, such as Cisco Systems, PeopleSoft and SAP, are making significant investments to build this new market. Recently, 25 vendors, including AT&T, Cisco, Citrix Systems, IBM Corp., Microsoft Corp., Sun Microsystems and Wyse Technologies, established the Application Service Provider Industry Consortium. The group will sponsor research, foster standards and promote the benefits of the ASP delivery model. Meanwhile, a Web site--www.aspnews.com--has emerged to report industry developments.
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