ASP: Reports of a dying breed

Telewest deal is something for optimists to point out...

By editorial@silicon.com, 2 August 2001 17:57

COMMENT 'Apps on tap' and 'broadband Britain'. Two phrases that promised so much and delivered so little. They were fine ideas but the reality has left more than a little to be desired, until, perhaps, today. A deal from Telewest to sell combined high-speed access and Microsoft Office applications on demand was matched by news that cuts in BT Wholesale will lead to cheaper ADSL. Cut-price net access and usable business applications should alert small firms who neither have the time nor the inclination to support software in-house. This demonstrates the symbiotic relationship that exists between application and delivery. The application service provider (ASP) needs high-speed access to convince small business that this is a viable alternative to applications supported on local servers. Meanwhile, the broadband reseller needs content and services to make ever-fast delivery a necessity rather than a luxury. Until now, neither side has delivered on its side of the bargain. Although the Telewest move is the action of just one player (motivated by one of its biggest shareholders, Microsoft), it shows what is possible.

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