Outsourcing to Grow to $70 Billion Business by 2005

In a report released last week, industry research analyst firm Aberdeen Group predicted that the hosting services market will reach $70 billion from 2005. The hosting services market focuses on the design, building, and management of Internet operations.

Hosting services provide an infrastructure solution by incorporating connectivity, hosting operations, and value-added service elements.

"Enterprises need an integrated hosting solution to shorten sales cycles, improve customer experiences, and gain data management," said report author Dana Tardelli. "And the hosting services market is the backbone that facilitates the delivery of these mission-critical applications."

The report, entitled Hosting Services: Outsourcing e-Business Delivery – Service Providers Climbing the Value Chain, defines the hosting services marketplace and its value proposition, identifies integration challenges, and profiles 38 service providers.