News

Outsourcing to Grow to $70 Billion Business by 2005

In a report released today, 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. – Isaac Slepner

About the Author

Scott Bekker is editor in chief of Redmond Channel Partner magazine.

Featured

  • World Map Image

    Microsoft Taps Nebius in $17B AI Infrastructure Deal To Alleviate Cloud Strain

    Microsoft has signed a five-year, $17.4 billion agreement with Amsterdam-based Nebius Group to expand its AI computing capabilities through third-party GPU infrastructure.

  • Microsoft Brings Copilot AI Into Viva Engage

    Microsoft 365 Copilot in Viva Engage is now generally available, extending Copilot's AI-powered assistant capabilities deeper into the Viva platform.

  • MIT Finds Only 1 in 20 AI Investments Translate into ROI

    Despite pouring billions into generative AI technologies, 95 percent of businesses have yet to see any measurable return on investment.

  • Report: Cost, Sustainability Drive DaaS Adoption Beyond Remote Work

    Gartner's 2025 Magic Quadrant for Desktop as a Service reveals that while secure remote access remains a key driver of DaaS adoption, a growing number of deployments now focus on broader efficiency goals.