ASPs Can Plug into the Wireless Opportunity, IDC Says

FRAMINGHAM, MA – MAY 14, 2001 – There is a substantial opportunity for application service providers (ASPs) to plug into the wireless market. Of 361 U.S. and European end users recently surveyed by IDC, 61% said they would consider using a wireless ASP. According to IDC, the challenge for ASPs will be determining how to position their offerings.

 

"Wireless applications present a very real and viable opportunity for ASPs, but it’s essential that while trying to seize this opportunity, ASPs don’t lose sight of their current business and the customers they already are serving,"said Jessica Goepfert, senior analyst with IDC’s Application Service Providers research program.

According to IDC’s survey, end users have strong ideas about the types of applications they expect to be available on a wireless solution. It is not surprising that email topped the list of applications expected on a wireless solution, cited by almost 80% of respondents. Customer service and support, unified messaging, and sales force automation applications also rated highly.

"Before throwing resources at developing wireless capabilities, ASPs should consider the application set that they currently offer," Goepfert said. "If they provide the applications that topped the list of expected wireless applications, then they should probably add wireless to their growing to-do list."

In addition to offering the desired applications, it will also be important for ASPs to offer integration capabilities. Approximately 53% of respondents in IDC’s survey said they would be likely to use an external service provider to integrate wireless applications with their existing IT systems. Another 80% indicated they prefer an integrated wireless solution to a standalone system.

"ASPs that don’t have the integration expertise in-house should seek out partners to acquire these skills so they can deliver more value to their customers," Goepfert suggested.

In a recent study, Wireless ASPs: Where’s the Demand? (IDC #B24470), IDC looks at what wireless applications end users want and examines how ASPs can meet their needs. The study is based on a survey of 361 U.S. and European end users. It compares results by region, company size, and industry. Factors potentially inhibiting the use of a wireless ASP are discussed. To purchase this bulletin, contact Jim Nagle at 1-800-343-4952, extension 4549, or at jnagle@idc.com.

About IDC

IDC is the foremost global market intelligence and advisory firm helping clients gain insight into technology and ebusiness trends to develop sound business strategies. Using a combination of rigorous primary research, in-depth analysis, and client interaction, IDC forecasts worldwide markets and trends to deliver dependable service and client advice. More than 700 analysts in 43 countries provide global research with local content. IDC's customers comprise the world’s leading IT suppliers, IT organizations, ebusiness companies and the financial community. Additional information can be found at www.idc.com.

IDC is a division of IDG, the world's leading IT media, research and exposition company.

 

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