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Is Hosting Still Hot? Last week, Information Week surveyed trends in the hosting business. Highlights:
"U.S. businesses operate an estimated 97% of all IT systems in-house, according to Tier 1 Research." [That must include all potential outsourcing, not just hosting.]
"But the shakeout may be a good thing. 'Consolidation has made the stronger ones better,' says Dan Agronow, VP of technology at The Weather Channel." [I agree]
"It's become clear that basic hosting services such as simply co-locating computers in a shared facility are 'stick-a-fork-in-it dead,' Loudcloud's Andreessen says. To be successful, 'you've got to be high-end, serving high-end customers, and you've got to be at scale," he says. "And if you can do all three of these things, it's a nice business.'" [I disagree. It may not be glamorous, but if you know what you're doing, you can run a healthy colo business.]
Posted Monday, July 01, 2002 10:19:09 AM 
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