BUSINESSWEEK ONLINE : SEPTEMBER 13, 1999 ISSUE
NEWS: ANALYSIS & COMMENTARY

Software on Demand


A traveling executive who needs to crunch some numbers for a meeting logs onto the Web and clicks onto her favorite portal site. She scans E-mail, downloads some data about today's commodity prices. Then, to update earnings projections, she uses a spreadsheet application.

1. The spreadsheet does not exist on her computer--which may be just a keyboard that allows her to tap into the Net. It is supplied over the Net by an Internet portal, which offers applications programs along with other Web information and services.

2. More and more, portals are relying on a new breed of company called ''application service providers,'' who maintain their programs, distribute them over the Net, and ensure round-the-clock availability.

3. Since such ''apps-on-tap'' reside on back-office server computers, server makers like Sun are pushing this trend. That's why Sun plans to give away the office programs made by Star Division Corp., which it acquired on Aug. 5.


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