Will all messaging be hosted?

NETWORK WORLD NEWSLETTER: MICHAEL OSTERMAN ON MESSAGING
07/12/05
Today's focus: Will all messaging be hosted?

Dear networking.world@gmail.com,

In this issue:

* The case for outsourcing your messaging
* Links related to Messaging
* Featured reader resource
_______________________________________________________________
This newsletter is sponsored by CipherTrust

While the convenience and power of e-mail has simplified
business communication for every organization, unencrypted
e-mail risks exposing sensitive data. Download CipherTrust's
free white paper, "Contributing to Regulatory Compliance with
E-Mail Encryption" to learn how enterprises can simplify the
process of encryption by applying e-mail policy at the gateway
and streamline the critical process of compliance.
http://www.fattail.com/redir/redirect.asp?CID=107835
_______________________________________________________________
THE NEW DATA CENTER: SPOTLIGHT ON STORAGE

Network World's latest report takes a look at storage trends
such as virtualization, encryption and archiving. Here you will
also find seven tips for managing storage in the new data
center, how storage encryption can help ease the threat of
identity theft, why one exec believes its all about the
information and more. Click here:
http://www.fattail.com/redir/redirect.asp?CID=107939
_______________________________________________________________

Today's focus: Will all messaging be hosted?

By Michael Osterman

Messaging is the backbone of most organizations, the
communications medium that users would give up last. The vast
majority of messaging systems are managed in-house on IT-managed
servers or appliances, as are most anti-virus, anti-spam, secure
messaging, archiving and other messaging-related systems.

There are a large number of vendors offering excellent products
that are relatively easy to manage, that are priced attractively
and that provide excellent functionality. That said, why does
anyone manage their messaging systems in-house?

According to one source, there were 12 million wind-power water
pumps across the Midwest in 1930. People generated their own
electricity because there wasn't an electrical distribution
infrastructure. However, once the electrical grid became
pervasive and electricity became reliable and cheap, many
stopped generating their own electricity in favor of
outsourcing.

The situation with messaging today is not dramatically
different. There are a large and growing number of companies
that provide outsourced messaging services of various types,
from complete hosted messaging to simple anti-virus and
anti-spam scanning for in-house servers. These services are
generally very reliable, often offering uptime better than
in-house managed systems.

Plus, many providers offer outsourced services that are less
expensive than in-house managed systems. For example, Osterman
Research calculates that for an organization of up to 2,500
employees it costs about $117 per user per year on average to
provide just messaging security services in-house, or nearly $10
per user per month. Contrast this with the cost of outsourcing
anti-virus and anti-spam filtering from a major managed service
provider that charges about $2 per user per month for a
1,000-user customer.

We found in a recent survey that organizations expect to
outsource more in the future for most types of messaging-related
services, although most organizations don't do so today and most
won't over the next couple of years. Many decision-makers are
concerned about the financial viability of some providers, they
are concerned about the security of message stores that are
housed outside the corporate firewall, and they believe that it
is less expensive to provide messaging services in-house.

I'd like to hear your thoughts on why outsourcing is or isn't a
good idea for your organization - please drop me a line at
<mailto:michael@ostermanresearch.com>

RELATED EDITORIAL LINKS

Lotus overhauls Notes client
Network World, 07/11/05
http://www.networkworld.com/nlmsg3193
_______________________________________________________________
To contact: Michael Osterman

Michael D. Osterman is the principal of Osterman Research
<http://www.ostermanresearch.com/>, a market research firm that
helps organizations understand the markets for messaging,
directory and related products and services. He can be reached
by clicking here <mailto:michael@ostermanresearch.com>
_______________________________________________________________
This newsletter is sponsored by CipherTrust

While the convenience and power of e-mail has simplified
business communication for every organization, unencrypted
e-mail risks exposing sensitive data. Download CipherTrust's
free white paper, "Contributing to Regulatory Compliance with
E-Mail Encryption" to learn how enterprises can simplify the
process of encryption by applying e-mail policy at the gateway
and streamline the critical process of compliance.
http://www.fattail.com/redir/redirect.asp?CID=107834
_______________________________________________________________
ARCHIVE LINKS

Archive of the Messaging newsletter:
http://www.networkworld.com/newsletters/gwm/index.html
_______________________________________________________________
Four steps to achieving real customer insight - Webcast

Do you want to improve the quality of your customer data? Learn
how you can create a unified, enterprise wide view of customers
so you can provide better service, improve customer relations,
and increase sales and more.
http://www.fattail.com/redir/redirect.asp?CID=107870
_______________________________________________________________
FEATURED READER RESOURCE
TEN WAYS TO STOP SPYWARE

You will get spam down to a manageable level this year, but then
spyware will kick in. Spyware cleaners will help, but won't
eradicate all the unwanted activity at the office, at home.
Here's a ten step guide you can follow to curb the spyware
problem:
<http://www.networkworld.com/nlmsg3048>
_______________________________________________________________
May We Send You a Free Print Subscription?
You've got the technology snapshot of your choice delivered
at your fingertips each day. Now, extend your knowledge by
receiving 51 FREE issues to our print publication. Apply
today at http://www.subscribenw.com/nl2

International subscribers click here:
http://nww1.com/go/circ_promo.html
_______________________________________________________________
SUBSCRIPTION SERVICES

To subscribe or unsubscribe to any Network World e-mail
newsletters, go to:
<http://www.nwwsubscribe.com/Changes.aspx>

To change your e-mail address, go to:
<http://www.nwwsubscribe.com/ChangeMail.aspx>

Subscription questions? Contact Customer Service by replying to
this message.

This message was sent to: networking.world@gmail.com
Please use this address when modifying your subscription.
_______________________________________________________________

Have editorial comments? Write Jeff Caruso, Newsletter Editor,
at: <mailto:jcaruso@nww.com>

Inquiries to: NL Customer Service, Network World, Inc., 118
Turnpike Road, Southborough, MA 01772

For advertising information, write Kevin Normandeau, V.P. of
Online Development, at: <mailto:sponsorships@nwfusion.com>

Copyright Network World, Inc., 2005