Betting On A Dead Business Model

from the bring-back-the-ASPs dept

When the whole “ASP” market first started getting hyped, I thought it would never work. I just figured that companies would never feel safe trusting systems to some other company. They would feel more comfortable if they had some real control. However, recently, as ASPs have started dying off, I’ve changed my opinion, as I’ve seen more and more companies using the ASP model in a way that’s actually helpful. I couldn’t figure out why I changed my mind until I read Stewart Alsop’s latest column, where he has come to the same realization. While companies aren’t willing to trust core computing functionality to an ASP, they are very happy to trust non-core, focused applications to an ASP. These are things that the company doesn’t completely rely on to run their business, but which are extremely helpful. It’s a lot of work for an IT department to run all these systems in-house – so the ASP model makes perfect sense.


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