Wednesday, April 11, 2007

Hosting IT Infra Benefited SMBs

According to a study titled ‘The Small Business Transition to Hosted Technology: Costs vs Benefits’ conducted by BizTechReports.Com, a US-based reporting agency, small and medium businesses (SMBs) that outsource their IT infrastructure are benefited more than those that maintain their in-house IT department. About 54 percent of SMBs (those who outsource their IT infrastructure) revealed that they spent less than 5 percent of their revenues to upgrade IT infrastructure, while about 64 percent of the organizations (those who do not outsource) revealed that they spent more than 10 percent of their revenues on IT infrastructure.

Among the key findings, companies outsourcing their IT infrastructure are better in terms of frequency of security incidents or incidents of technical failures as compared to the companies who do not outsource their IT infrastructure. In addition, the outsourcing organizations gain exposure to cutting-edge technologies and approaches such as Software as a Service (SaaS) much ahead than their non-outsourcing counterparts.
According to Lane Cooper, the CEO of BizTech Reports.Com, outsourcing IT operations allows companies to focus on their core businesses and to achieve business objectives.

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