August 24, 2000
The $10 Per Year ASP
Start-up BmyPC sets aggressive price point for
hosted apps.
By Joseph C.
Panettieri, Sm@rt Partner
It's a business plan that makes open-source software look
downright expensive. BmyPC, a start-up application service provider (ASP),
is set to offer hosted productivity apps for as little as $10 per user per
year.
BmyPC's hosted applications are currently in beta, but complete
services should be available within a few weeks, says company co-founder
Eran Pfeffer. He expects annual prices for the service to range from $10
per user to $25 per user. Partners that resell the service are free to set
their own pricing.
BmyPC plans to target small businesses, home offices and schools that
want to reduce their software acquisition costs and maintenance costs. The
BmyPC desktop resembles a traditional Windows desktop, except that files,
folders and productivity applications are hosted on Windows NT servers in
Digital Island's San Jose, Calif., data centers. Customers can access the
hosted apps through a standard Web browser.
BmyPC is lining up partnerships with ISPs, ASPs and integrators that
are interested in reselling the hosted service. The company also is
seeking relationships with vertical-market software developers. Network
Appliance and Cable &Wireless are already onboard. A deal with a
Utah-based ISP is expected in September.
BmyPC has 33 employees. Marketing and sales are managed from Mountain
View, Calif. The company's development team is based in Israel.
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