Businesses reject ASPs



Lindsay Clark

Corporate users have given a resounding no to handing over the hosting of business software to application service providers...



Lindsay Clark

Corporate users have given a resounding no to handing over the hosting of business software to application service providers (ASP).

The ASP model has created a buzz among industry analysts as a cheap way to implement software. UK users, however, remain unimpressed. Of those surveyed in this week's Computer Weekly/ Harvey Nash Big Question, 68% said they would not be considering moving applications to the ASP model in the next year.

"It was significantly cheaper to stay in-house," said one IT manager. "The benefits were not big enough to offset the cost differential."

Another user pointed out that, until software licensing issues are ironed out, there is unlikely to be any significant saving to users choosing ASP. A lot of business software is licensed on a client access basis, which may be inappropriate for the ASP model.

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