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Tech's
Bright Spot: Hosting Services Still Growing
press
release
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Report
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Market
Segmentation
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BOONTON,
NJ. September 3, 2002:
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Despite the tech
sector’s woes, spending on Web hosting and the managed services required
to maintain corporate Web sites continues to grow, and is predicted to
exceed $13.5 billion by 2007 according a new report by Insight Research.
The market research study concludes that corporate IT departments are
under considerable pressure to outsource Web site management in order to
achieve greater efficiencies in their current operations.
According to
Web Hosting and Managed Services
2002-2007, corporate IT
departments are expected to increase their outlays on outsourced Internet
infrastructure and managed services at a compounded growth rate of over 22
percent over the next five years, even if the current lockdown in the
worldwide tech sector continues.
The outsourcing of ongoing Web site
maintenance and other managed services will continue since vendors of
managed services operate with greater efficiency and expertise than
internally-managed corporate IT departments. The outsourcing of Web
hosting services runs the gamut from a small business buying managed
services in a shared-server environment to a Fortune 100 company bringing
an outside managed services team into a corporate data center to manage
the company’s Web resources.
“Even with the
overall economy in a slump, companies of all sizes realize that
outsourcing Web hosting and the other management functions required to
maintain a company site is not a luxury—it’s a necessity,” says Insight
president Robert Rosenberg. “Companies of all sizes are
outsourcing—not just the top tier—and they are all motivated by the
same calculus: reducing the overhead related to new a deployment or the
management of the Web infrastructure. Giving Web hosting to
professionals, and expensing the costs, are the way to go,” concluded
Rosenberg.
Web Hosting and
Managed Services 2002-2007 forecasts outsourcing expenditures for six
classes of Web hosting and managed services.
A free report
excerpt, table of contents, and ordering information is online at www.insight-corp.com/hosting.asp.
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Grid
Computing
2003-2008
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Private
Line Services
2003-2008
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Optical
Networks:
DWDM
and
SONET
2003-2008
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IP
Telephony: Service Revenue and OSS Expenditures for Voice over IP
Networks 2002-2007
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IP-Based
Applications Services Market 2002-2007
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NewsFirst
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Insight
Research,
founded
in
1990,
is
a
highly
respected
source
for
telecommunications
market
research
and
strategic
analysis.
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Donna
Savino
at Insight Research
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Telecom
Market
Research,
