Advantages and Disadvantages of Using Application Hosting

Many of my clients asked me that what exactly an application means. It's a simple concept, hosts the application or we can say that application hosting is web-based solution that allows customers to run the software through the cloud with a recurring basis and are generally provided by IE ASP, application service providers.

The requirement for ASPs has evolved from increased cost of specialized software that far exceeds the price gap of small and medium-sized businesses. In addition, growing complex software has led to the maximum cost of distributing the software to users. With the help of ASPs, you can reduce the complexity and cost of such software. In addition, the problem updating been eliminated from the final business by putting ASP to maintain the latest services, 24 x 7 technical support, physical and electronic security and built support for business continuity and flexible working.

Leading cloud system can be rented or rented monthly or annually, so there is no need to purchase expensive equipment. The main reason is that most of the equipment is hosted by your service provider and all communications are transferred to and from your company or website. Application environment setting has an advantage over operating costs and it is also easier to install, increase flexibility and allow communication from all parts of the world in a simple way.

Hosted Cloud solution is very inexpensive to operate, and as usage and number of users increases, cost cost host application system simply disappears

Now the next question is what is Hosting means?

Hosting the distribution of software as a client application, such as CRM, Location Intelligence, or others, are maintained and managed by qualified service provider and made available to customers as a service on the WWW. Exactly, this means that an application exists on server servers instead of customer service home servers.

Features a good hosting solution


  • No data security loss / control
  • Easy and faster execution and quick return on investment

  • No steep learning pathways, and also provides ease for use by customers

  • Reduced sales, marketing and information services each time

  • Cheaper software and hardware costs

  • 24×7 maintenance, support and security

  • Automatic and frequent upgrade of the software application

  • Ability to carry out improvements in an ongoing manner

The biggest advantage is that customers share and access important information with all their sales and marketing companies, instead of living on their own desktop. In addition, customers should get: Sales and marketing on the same page, share similar information all the time. Increased business image and customer loyalty. Decreased costs and increased revenue and profitability.

Defective areas include:

  • The client will generally approve the application, as ASPs can only provide customized solutions for major customers

  • The customer can rely on the service provider to provide critical business technology and thus restrict its control of that activity and instead rely on the service provider

  • Changes to the ASP market can lead to changes in the type or level of service available to customers

  • Integrating with clients without ASP systems can be difficult

An assessment of the applicant's security for ASP infrastructure may be incurred at high costs, as such company must assess the risk level associated with ASP itself. Failure to take into account such risks may result in:

  • Loss of Company Data Monitoring
  • Damage to corporate governance
  • Inadequate ASP security to counteract risk
  • Publication of corporate data to other ASP customers
  • Summary of Company Data

Source by Tina S Smith

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