Share
Explore BrainMass

A New Option for Software Purchase is ASP

A new option for software purchase is ASP (Application Service Provider) (http://www.crn.com/it-channel/18809429). Review 3 such providers of ERP software located via an Internet search. When might it be the best option to use a host instead of make or buy?

Solution Preview

A new option for software purchase is ASP (Application Service Provider) (http://www.crn.com/it-channel/18809429). Review 3 such providers of ERP software located via an Internet search. When might it be the best option to use a host instead of make or buy?

An Application Service Provider (ASP) is a company that provides software to customers remotely. The ASP hosts the necessary software and hardware and the customer access the software over the internet. The customer is charged for the use of the software on a monthly, daily or per use rate.
The ASP model has the following advantages:
1) Less expensive
a. Customer pays on a per use basis, rather than purchasing the software themselves
b. ASP vendor pays costs for maintaining and updating the software and hardware.
2) ASP model is scalable to customer's needs.
3) ASP vendor typically provides a Service Level Agreement, providing compensation if the application does not meet some minimum uptime.
4) Implementation is much faster, taking weeks, instead of years.
Disadvantages of the ASP model include:
1) The client has little ...

Solution Summary

The solution discusses a new option for software purchase is ASP.

$2.19