Only 2 per cent of all software will be sold via ASP by 2003, says ASP startup CEO David Harrington.
In fact, he speculated it would take as long as 10 years before ASP became the dominant mode of software purchasing.
To date, existing ASP systems, including the emerging standard, Citrix, had been "clunky", he said.
Harrington said his company would remotely host e-commerce and networking applications via standard Web protocols. According to the company's chief technology officer Troy Cox, the Citrix ASP model incurred a greater onus on the user's PC.
Harrington said Peakhour customers would be allocated digital "dashboards", which will display various remotely hosted e-commerce business applications on a single interface, he said.
With costs for Peakhour packages starting at $35 per month per user, Harrington predicted that, on average, small companies will need to spend around $1000 per year on Webpage and e-commerce software hosting.
The company will also offer first-time home businesses free limited ASP access for one year, he said.
Harrington said Peakhour would target the SME (small-to-medium enterprise) market. He anticipates the ASP will host data and software for 10,000 of Australia's half a million businesses by the end of 2000.
He said the venture capital-funded company, which currently employs 50 people, had no plans for IPO.