Event
Summary
In May, Qwest Cyber.Solutions LLC, (QCS), an Application Service Provider
(ASP) announced its strategy to deliver ASP solutions designed for key
market sectors. The company has packaged a suite of ASP products, called
Enterprise Freedom, to serve as the foundation for solutions offered
to the finance, communications, healthcare, and services sectors.
By
identifying key market sectors that demonstrate the propensity to adopt
the ASP model, QCS is moving to develop new solutions specifically tailored
for high demand, early adopter industries where the ASP model may bring
immediate value.
QCS
is itself to build sector specific solutions, leveraging the company's
key differentiators and core strengths in the following areas:
-
QCS'
industry knowledge and best practices - QCS application staff have
an average of 13 years of industry experience managing business applications.
-
Industry
templates - leveraged from KPMG, a parent company and leading service
firm. The standardized industry templates provide a set of software
and solutions methodologies used to activate clients within the identified
industries.
-
Qwest's
global communications infrastructure and strong industry relationships
with customers and partners.
QCS Enterprise
Freedom Product Suite
The QCS Enterprise
Freedom suite of ASP products has been packaged to serve as the basis
for QCS' sector specific solution offerings. The products offer managed,
flexible, scalable, and secure IT solutions designed to address both current
and future IT and business challenges. The QCS Enterprise Freedom suite
currently includes 3 products:
1.
Ultimate Freedom by QCS
This product provides a bundled package of services for companies
who need business critical applications up and running quickly, but do
not have the necessary infrastructure or software resources. The product
includes software, hosting and management with ongoing maintenance. Applications
are hosted in Qwest's CyberCenters and delivered over the optically linked,
secure Internet communications fiber network. QCS manages and supports
the entire hosted solution.
2. Freedom
for Hosted Applications by QCS
Freedom for Hosted Apps provides a package of hosting and management
services. QCS hosts ERP, CRM, and other applications in Qwest's CyberCenters
and delivers them via the optically linked secure Internet communications
fiber network.
3. Freedom
for Managed Applications by QCS
This product provides application management services for companies who
want to preserve a current investment in IT infrastructure and software
but require expertise and ongoing maintenance for strategic applications.
All the QCS
Enterprise Freedom products offer solutions with "rapid" activation, a
single point of contact and a monthly billing system. The Enterprise Freedom
product line supports QCS' portfolio of software from strategic partners
Ariba, Captura, Oracle, Peoplesoft, SAP and Siebel Systems.
Market
Impact
Corio, USinternetworking, Interpath and others, offer similar product
solutions. The implied differentiation occurs with QCS's identification
of select industry verticals and the leveraged use of KPMG's "templates."
We believe the ASP market is evolving where product offerings are "normalizing"
(mix of ERP, CRM, and e-commerce, etc.) and vendors are establishing "value
packages" targeting specific industries.
We expect this trend to continue. As more organizations
embrace an "outsourced" model (analysts predict a 20-40 billion market
by 2004), and the ASP market swells with vendors; the movement toward
"specialization" will become evident through Application Service Provider
announcements.
User
Recommendations
If you are considering an outsourced solution this announcement is attractive.
QCS and others offer packages backed by substantial hosting and support
organizations. However, attention to detail will reward ASP shoppers.
Each industry and solution application command different needs. The promise
of "rapid" deployment should be tempered with reality when measuring your
company's needs and the complexity of services you require. Shop wisely,
check out "market sector" focused companies as well as others offering
similar solution applications.