Increased spending on application hosting—CRM, ERP, compliance management, et al—will drive total US hosting service revenues through 2011. Application hosting will account for an increasing percentage of all hosting revenue—roughly two-thirds of all hosting revenues by 2011—with Web hosting accounting for the other third.

This report provides updated survey information that gauges take-rates for managed services in the US business market compared to results from a similar study done in 2006—specifically focusing on data that highlights the managed hosting market.

Also included is an overview of survey data that indicates current demand for utility computing services and where future demand will exist for these services over the next two years, and what effect this will have on the overall managed hosting market.

A forecast of US managed hosting spending through 2011, broken down into Web hosting and application hosting, is included in the last section of the report.