Google most trusted to deliver on demand applications

July 13, 2005

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According to new research done by market analyst firm IDC, large businesses rank Google as the most likely candidate they trust to deliver certain on demand applications.

Hosted applications are delivered to the user's computer through the internet. They are deployed through a browser window.

The most common examples of such software are Salesforce.com and hosted email accounts from Hotmail, Gmail.

The IDC survey asked 30 companies with revenues between $500m and $80b about their preferences for online applications.

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About half of the respondents said they would be interested in using hosted applications, and about 85 per cent of those said they would look at Google to provide such services, followed by Yahoo and Amazon.

The three ranked higher than established software providers such as Salesforce.com and Microsoft.

The respondents were interested in using hosted apps for text editing, complete hosted desktop systems, CRM software and industry specific applications, David Tapper, IDC's program director for IT Outsourcing, told vnunet.com.

Before Google can start offering on demand applications, the search provider however needs to clear several hurdles including security and regulatory compliance, as well as provide prove that it works, Tapper warned.

"But [enterprises] are saying that if they could overcome that, they would consider buying those services from them," Tapper said.

Neither Amazon, Google or Yahoo! currently provide hosted applications for enterprises, although Amazon does manage online stores for partners including Toys R Us and Borders bookstores.

All three however have a strong track record in hosting their own online applications and delivering a high system uptime.

A spokesperson for Google declined to say if the company has any plans in this area, citing a policy of not talking about unreleased products. Yahoo and Amazon didn't return a phone call seeking additional information.

IDC plans to publish a report about its findings by next week.

Source: Vnunet.com

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