24 Dec 2008

SMBs 'could benefit from hosted services'

The number of small and medium-sized businesses (SMBs) turning to hosted services could rise over the next 12 months, a report suggests.

According to IT-Director.com, more firms could take up software-as-a-service (SaaS) and other technology in a bid to beat the effects of the difficult economic conditions.

The report claims that smaller companies may have an advantage over larger enterprises as they are able to make decisions more quickly.

And while wholesale outsourcing is likely to be beyond the reach of most SMBs, the use of software-as-a-service (SaaS) and other technologies could help offer greater flexibility in meeting their IT needs.

Switching to hosted services would also allow them greater control over costs, while insulating them from rapid changes in technology, the article suggests.

This comes after a report by Information Week stated that medium-sized firms could make considerable cost savings and improve business continuity management by using server virtualisation.