Application Service Provider (ASP)
An ASP (Application Service Provider) is quite simply a company which, for a set monthly fee, delivers applications (software) to its clients through the Internet. Software is traditionally sold; you physically receive a CD which you install on your hard drive or your office server. ASPs operate quite differently, by using the Internet as a medium to deliver software as a monthly service.

	Here's an example: QuickBooks or Peachtree are used by many companies for their accounting. However there are ASPs out there today that provide web-based accounting packages to which businesses can subscribe. The client can login via the internet and use the ASPs' web-based application to perform various accounting tasks online; entering bills, cutting checks etc.; eliminating the need for an installed application on a desktop or server.

The benefits of using a web-based application through an ASP are:

• With the elimination of support, maintenance and upgrading hassles, you save money and your company saves time as you are no longer responsible for the upkeep of the service provided.
• Being web-based, your organization will have access to the software from anywhere in the world.
• You drastically reduce the risk of a bad technology investment.
• Better availability of applications, better security for your data, more frequent backups of your data, better disaster recovery and basic, centralized technical support are generally guaranteed.
• Unaffordable software can be rented by a small business, giving the company access to software which might otherwise be impractical financially.
• IT concerns are alleviated allowing more time, money and energy to focus on business issues.

Software Hosting
Software hosting will generally give you all the benefits of an ASP listed above, but with a difference. Software Hosting is a term used when a company hires an outside provider to manage and run a piece of software instead of installing and running it on-site. The software is loaded on the provider's equipment and run from their physical location and not the client's, hence the term "Hosting".

	Here's an example: Many organizations use Exchange Server to manage their email internally, where today there are companies that will host Exchange Server and offer it as a service for a fixed monthly fee. The software actually runs at the provider's location and the client does not need to purchase the software, manage the server or even setup new users. The external company will manage everything and users simply connect via the Internet or a private connection.

Software Hosting vs. ASP
Software hosting, because of the different applications, in fact varies from traditional ASPs. An ASP, acting like a software vendor, will generally write and maintain its own proprietary applications like accounting applications, human resource programs, etc. Those applications cannot be sold by any other company, or in fact purchased by anyone to run on-site. In general software hosting applies to software, like Microsoft applications, Siebel, etc., that can be installed on-site by anyone.

Where does IT Solutions Now fit in?
IT Solutions Now is really a cross between an IT outsourcing firm and a software hosting company. By providing a superior way to use technology altogether, we deliver value to small and midsized businesses. IT Solutions Now is the way to do IT for businesses with approximately 10 to 250 computer users. By providing your organization with all of the functions and stability of a Fortune 500 IT department: a reliable and secure off-site data center, up to date high-performance hardware, total IT management, a high quality help desk, advanced security systems, worldwide access, disaster recovery, an expert staff, and much more.