New US Economy Policy Message Board

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Strategies & Market Trends : New US Economy Policy

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To: Arthur Tang who wrote (239)	8/10/2000 8:13:45 AM
From: Arthur Tang	Read Replies (1) of 435

A hidden movement in the new economy, that has not blossomed yet? Many corporations had shed their internal departmental operations, then outsourced from the buyer or takeover-er(IBM). It has been interesting recently when Nortel sold several of their internal departments and then outsouced from them. Netting quite a sum of cash. This, at a first glance, looks like selling the headquarters and lease it back. But in reality, the outsourced department could grow into an ASP power house, when the software and hardware could be used by other corporations. Or other corporations may also sell their departments and use the same ASP. Many ASPs are now born out of existing service departments of large corporations. When these ASPs start to buy other business, the new economy will gain much more productivity then we can imagine. At the moment, these ASPs will bide their time to stabilize their operations. The new economy has a turning point; and we have to watch it closely. All the databases can unite many corporation service bureau. Distributed servers can balance the load and still keep all information of each corporation apart.

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