Error 404--Not Found

Error 404--Not Found

From RFC 2068 Hypertext Transfer Protocol -- HTTP/1.1:

10.4.5 404 Not Found

The server has not found anything matching the Request-URI. No indication is given of whether the condition is temporary or permanent.

If the server does not wish to make this information available to the client, the status code 403 (Forbidden) can be used instead. The 410 (Gone) status code SHOULD be used if the server knows, through some internally configurable mechanism, that an old resource is permanently unavailable and has no forwarding address.

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Error 404--Not Found

Error 404--Not Found

From RFC 2068 Hypertext Transfer Protocol -- HTTP/1.1:

10.4.5 404 Not Found

The server has not found anything matching the Request-URI. No indication is given of whether the condition is temporary or permanent.

If the server does not wish to make this information available to the client, the status code 403 (Forbidden) can be used instead. The 410 (Gone) status code SHOULD be used if the server knows, through some internally configurable mechanism, that an old resource is permanently unavailable and has no forwarding address.








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the asp attack


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By DENISE PAPPALARDO Network World, 09/27/99

Like the Big Bad Wolf in the classic children's fairy tale Little Red Riding Hood, a host of services providers are salivating over the opportunity presented by the young application outsourcing market. But the last thing any network executive wants is to become the foolish victim.

Believing every promise made by an application service provider (ASP) could land you in a heap of trouble down the road, so don't go into this process ignorantly. Knowing what to ask for from an ASP and how to determine if application hosting will benefit your company will keep you on the safe path.

Let's start with a definition: An ASP is a company that offers rentable applications to multiple business users from a shared data center over the Internet, an ATM, frame relay or even a private-line network. The applications are typically accessed from a user's PC in one of three ways: via a standard Web browser, a thin client or an application-specific client.

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Many ASPs offer managed application and database servers, security, system backup, disaster recovery and service-level agreements (SLA). And with more than 150 companies fitting the ASP definition today, it's easy to find an array of applications for rent, from Microsoft Exchange e-mail to PeopleSoft financials.

But be aware of the fact that there is no one ASP model. Corio, a Redwood City, Calif., ASP specializing in PeopleSoft enterprise relationship management (ERM) software, offers a 99.9% application availability guarantee. But that doesn't mean you'll get the same promise from newly formed Qwest Cyber.Solutions when it rolls out its SAP and Siebel application hosting services. You'll find it difficult to compare pricing, contracts and SLAs from any of the ASPs - a circumstance that proves the market is extremely immature, says Julia Giera, an analyst at Giga Information Group in Norwell, Mass.

The market will get there in due time - and perhaps with the help of groups such as the ASP Consortium, a four-month-old industry forum created to define the market, its best practices and technologies. For today, users who want hosted services have a lot of figuring out to do on their own.

Four to live by

The biggest question any business user must answer is: What advantages will an ASP provide that I can't get in-house?

EbaumGiga offers four reasons why you would outsource an application rather than deploy servers, obtain software licenses and gear up your staff to support a new companywide deployment. They are: to improve service; obtain a strategic advantage; reduce risks by being able to move quickly with low capital investments; and reduce costs.

In part, improving service means getting more bandwidth than you could afford otherwise. For example, many ASPs are setting up data centers that have dedicated Internet bandwidth - oftentimes to multiple ISPs. With connections to six ISPs, Annapolis, Md.-based ASP USinternetworking serves as a good example. USi specializes in combining enterprise and customer relationship management (CRM) applications with electronic-commerce hosting and data warehousing. USi has built its own data centers - two in the U.S. and two overseas - for ultimate control.

Connections between USi's Annapolis and Milpitas, Calif., data centers and the six chosen ISPs - AGIS, Cable & Wireless, Digex, GTE Internetworking, Sprint and UUNET - operate at speeds ranging from T-3 to OC-3. Most user organizations would simply find the availability of this much bandwidth hard to match.

But users are not limited to buying dedicated Internet access service from any of these six providers. In fact, users don't even have to buy Internet service; USi also offers frame relay and private-line access to its data centers. The scope allows most business users to access either of USi's data centers quickly and reliably from anywhere.

Besides getting more bandwidth, you also want to think about staffing requirements when it comes time to evaluate whether taking the ASP route will help improve service to employees. That staffing aspect factored into Sunburst Hospitality's decision to outsource its PeopleSoft financial applications to USi.

asp deja vu?

Sunburst was left with an applications void after being spun off from Choice Hotels International less than a year ago. Choice Hotels, a former sister company, had been providing Sunburst with all of its financial applications through a managed data center manned by about 15 to 20 people, says Mark Elbaum, director of IS at Sunburst, a national hotel chain based in Silver Spring, Md.

Because Sunburst was essentially outsourcing its PeopleSoft application needs already, it wasn't a huge leap for the company to choose an ASP service. But Elbaum says USi is offering Sunburst "a lot more than we could provide internally, from a 24-7 help desk to redundancy."

About 25 Sunburst employees, each outfitted with a PeopleSoft client, access financial applications today over a private line in to USi's Annapolis data center 40 miles away. Most of the employees frequently use the general ledger, accounts payable and asset management tools that are part of the PeopleSoft financials program.

But Elbaum says he plans on providing application access to 4,000 employees, at all 87 Sunburst hotels, over the Internet by year-end. These additional employees will simply be viewing screens as opposed to running reports and processes, as the two dozen or so heavy users have been doing since January.

Staffing concern was a big factor in Elbaum's decision. "It's very hard to find talent. Anyone who knows PeopleSoft demands a high premium - some of the people with a year or two experience were commanding salaries that were completely ridiculous," he says.

A fighting chance

If the burden is on an ASP to hire necessary software experts, than that s a load off any network manager's mind. As a matter of fact, six of the seven users contacted for this story say a key reason for choosing an ASP was because they thought it wouldn't pay to bring high-end applications talent in-house. Most say that even if they could afford to hire experts in ERM and CRM applications, they don't feel confident they could retain those employees over an extended period of time.

Outsourcing also gives small to midsize companies, as well as start-ups, a shot at using top-tier applications they otherwise could never seriously consider.

For example, rather than buying and supporting a midtier CRM application, voice-over-IP start-up Clarent went right for higher end PeopleSoft financial and manufacturing applications by signing up for service last month with Corio. Clarent's headquarters, in Redwood City, is connected to Corio's data center in neighboring Santa Clara over a local T-1 private line.

"Being able to take PeopleSoft on this early is a competitive advantage because we now have the same business processes as the big guys," says David Blumhorst, director of IT at Clarent, which has 250 employees. And the company certainly needs to be concerned about competitive advantages because it's up against networking behemoths such as Lucent and Nortel Networks.

Blumhorst predicts Clarent would have outgrown an internal midtier CRM application in three to four years, based on employee growth predictions. So not only does application outsourcing put Clarent on a similar playing field as its competitors, it also eliminates risks associated with switching key business applications. At times, such application changes can lead to problems with customer billing and other business processes.

Application outsourcing also allows start-ups to keep capital investments low - not a bad idea for companies entering markets in which mergers and acquisitions are common.

Then there's that cost issue ...

Outsourcing an application that your company will grow into instead of out of holds cost advantages as well. But to see cost savings, you've got to look at the entire picture and not just the service pricing on its own.

Take a look at USi's monthly rates, for example. The ASP charges anywhere from $20,000 to $200,000 for PeopleSoft financials and human resources, $25,000 for Siebel ERM, and $15,000 to $20,000 for Sagent data warehousing application hosting services. The rates vary based on the number of employees accessing the applications and the number of servers hosted and managed by USi.

At first glance, it may not appear that a business user would actually save money by outsourcing one of these applications. But in many cases, these applications require huge capital investments. If you bought ERM software directly from Siebel, for instance, you'd pay $800 to $1,350 per user license. For the software alone, USi's Siebel pricing comes out to $500 per user. Then you get to factor in savings associated with not having to buy and deploy necessary hardware and possibly dedicated bandwidth, ASP customers say. Plus, there's a definite savings by not having to hire software experts to manage and maintain the deployment.

E-commerce software developer DataSage is saving big money by outsourcing a CRM application, says John Vicidomino, vice president of worldwide sales at the Redding, Pa., company. For one, Vicidomino notes, he doesn't have to budget $75,000 annually for an application expert. For another, he didn't have to plunk down $20,000 for new server hardware.

DataSage buys the CRM application - Onyx Software's Onyx Front Office - from Eggrock Partners, a Concord, Mass.-based consulting and systems integrator that has transformed into an ASP for small to midsize companies. Besides the software itself, Eggrock provides DataSage with help desk, server monitoring and management, software upgrades and the server hardware.

DataSage also has reigned in costs by linking to Eggrock's data center via the Internet rather than the more costly frame relay or private-line alternatives. On average, you can expect to pay $2,200 per month for a dedicated T-1 frame relay port plus $1,400 per month for a committed information rate of 1.544M bit/sec. Private-line services cost even more - starting at about $2,500 and scaling up based on distance of the T-1.

On the other hand, if you use UUNET or Concentric Network, it would cost you $2,495 and $1,795, respectively, for a dedicated T-1 operating at full speed. So using the Internet as your means of accessing your ASP's data center can save you anywhere from $1,105 to $1,805 per month.

. . . but cost isn't everything

Even if you can improve service, gain a strategic advantage, reduce risk and save money, the outsourcing decision isn't necessarily easy. And that's because of two concerns that haunt potential ASP users: security and performance.

Most ASPs are surprisingly unspecific about security, from product and cost perspectives, so you'll have to study each provider's security portfolio carefully. USi, for instance, offers real-time intrusion detection and firewall options, and works with each customer to determine if additional security technology, such as digital certificates, is needed. Meantime, Corio offers encryption and user and network authentication. No ASP today uses security to differentiate itself.

At a minimum, if you're accessing an ASP data center via the Internet, you should demand IP Security-compliant firewalls that can support up to 128-bit key encryption. Certain sensitive applications, such as company financials or employee records, may even warrant the use of digital certificates.

Handing over your company's sensitive financial, sales or human resources information to an ASP that will host that information on application and database servers hundreds of miles away from your headquarters is a huge responsibility. Ensuring that this information is and stays secure is another.

That's why companies such as Sunburst and BayValve Service, a Seattle company that repairs industrial valves throughout Washington state, opt for private-line access rather than the Internet. For Sunburst, the decision was a no-brainer - the company resides just 40 miles from USi's Annapolis data center, so it only incurs the cost of a local T-1. Peace of mind is worth a lot more than that, Elbaum says.

At BayValve, Office Systems Manager Nancy McKinney didn't even consider Internet access because she didn't want the company's accounting information exposed to such a wide-access arena like the public'Net. BayValve gives employees access to an accounting software package hosted by InSynQ, an ASP in Roseville, Calif. It uses a frame relay connection into a firewall at InSynQ's site. Employees have to clear the firewall before gaining access to the Citrix server running the accounting application.

For other companies, concerns about using the Internet don't center on security, but performance. National Airlines, a start-up airline in Las Vegas, decided against outsourcing all of its applications because it's not convinced that client/server applications perform well over the Internet, says Tim Stanley, vice president of IS at the airline.

For example, Stanley decided to keep National's client/server-heavy financial application package in-house while outsourcing scores of other applications to USWeb/CKS in Santa Clara and a variety of firms that specialize in airline applications. National uses more than 125 applications.

To ease such performance concerns, software developers and big software companies are tweaking their high-end software packages to ensure users will be able to access these applications via standard browsers. Analysts agree that a standard Web client will most likely offer users the best performance, but thin-client manufacturer Citrix is pushing for use of dumb terminals running its MetaFrame client or another client that can talk to a Microsoft terminal server.

Words to the wise

Regardless of the way you allow access to your company's hosted application, be sure to get a strong SLA. At a minimum, you should press for server, application and network performance SLAs that guarantee availability at rates above 99%, as well as cash compensation for failure to meet the terms of the agreement. A smart move would be deploying your own monitoring tools to ensure that the ASP is living up to its end of the bargain.

You'd also be wise not to jump into a hosted application service if you can't answer "yes" to at least one of the following questions: Will my service improve? Will my company win a strategic advantage? Will my company reduce risks? Will my company save money?

And even if you answer all four questions affirmatively, some words of caution are still in order: Not a single ASP is making money. No ASP will turn a profit this year, let alone in the next couple of years.

What does that mean for you?

The ASP you chose today stands a good chance of merging with or being acquired by another company. The application outsourcing market of September 2000 will look much different from today's, Giga's Giera predicts.

"The telcos and outsourcing giants like EDS are going to wake up and get their acts together," she says.

Many of the large telecom carriers, including AT&T and MCI WorldCom, have been quiet when it comes to ASP services. And companies such as EDS say they will enter the market, but not until they have a superb offering, Giera says.

Only time will tell whether it'll truly be possible for thousands of users to share data centers over the Internet. Most ASPs today can't cite more than 30 to 50 customers, says Asha May, an IT service group analyst with Dataquest, in San Jose.

But with software developers, hardware manufacturers and services providers as determined to build up the ASP market as that Big Bad Wolf was in finding his way to grandma's house, you can be sure it will happen. Just give it five years or so.

Related links

Contact Senior Editor Denise Pappalardo

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