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Tier1 Research Releases Report on the Mass-Market Hosting Sector

30th November 2006

Says the mass-market hosting sector is transforming amid quickening adoption of broadband and multiple web presence possibilities for consumers.

Tier1 Research, an advisory firm, yesterday announced that a research by them finds that the mass-market hosting sector is transforming amid quickening adoption of broadband and multiple web presence possibilities for consumers.

Industry consolidation, IPOs, domain monetization models and license agreement lawsuits are helping to enter the marketplace once again. These trends are also affecting market share – opening the door for new leaders, while the web giants try to increase their leads over the mass-market sector.

The report includes discussion of the trends and challenges faced by this sector, revenue growth details, analysis of the segment leaders and a look at key M&A activity, as well as an examination of expectations and possible future directions this marketplace might take. This report dives into the trends affecting the mass-market hosting sector, including industry consolidation explodes as expected after slow 1Q06, hosting firms file to go public and shared hosting is under attack by functional hosters.

"Raw shared hosting accounts remain under attack by functional services, and the principles of shared infrastructure continue to drive dedicated server hosters to consider virtualized service platforms. Meanwhile, online advertising successfully entered the sector, upsetting the revenue apple-cart of many leaders and opening the door for new leaders, yet leaving many to think the Web giants can own the mass-market sector," said Philbert Shih, Research Analyst at T1R and Lead Author of the report.


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