Gartner analyst Rolf Jester has released his predictions for the ASP market in coming years, suggesting only 30 of the 81 ASPs Gartner currently recognises on the Australian market will survive by the end of 2002.
But on a more positive note, Jester predicts that by 2005, 30 per cent of Australian businesses will host 25 per cent of their business applications with ASPs. Gartner reports that most large organisations are now aware of the ASP model, but are concerned about the security and integrity of their data, the uncertainty of players in the market and the cost.
As for applications, Gartner's research suggests Australian companies are more likely to rent e-commerce and ERP software via an ASP rather than office products and CRM.
