And, historically, when players overrun a marketplace with their contagious exuberance, only the companies with sound business models persevere when all others have run out of gimmicks and promises. If your plan is sound and can stand the rigors of competition, you belong in the market. If not, you are destined for departure. I am confident this will happen in the ASP community. Analysts have started sounding the death knell for many of the ASPs.
Ominous predictions abound.
Others are forecasting a rise in acquisitions and less talk of IPOs as the herd is gleaned. As the ASP market thins itself, it is becoming more and more evident that ASP models relying heavily on technical service at the expense of developed partnerships, will not survive. The only ASPs expected to remain in the coming year will be the ones that have developed a solid core business model that emphasizes its application service partners. The best business model will be the one that can successfully recruit and retain customers, based on those partnerships. That can only be accomplished when the offering is about quality products and service, end to end.