Second Hard Drive Means Life or Death Published: Jan 15, 2006
  • Rating

    5/5

How large can the industry get and can it sustain its current growth rate?

The Yankee Group, a leading technology market research firm, projects that by 2003, the market for web hosting services will grow to $14.4B, at a compound annual growth rate of 48%.

A Rapidly Growing Market The growth in the popularity, size and use of the Internet has been staggering. It has changed the way people communicate, learn, and most of all do business. Consequently, the need for enhanced web services, like web hosting, has exploded in recent years, and it represents the fastest growing segment of the Internet services market.

IDC predicts that the United States market for web hosting will grow from $806 million in 1998 to $18.9 billion in 2003, representing a compounded annual growth rate of 85.4%. IDC also estimates that the international market for web hosting services will grow at a faster rate, from $16.5 million in 1998 to $1.3 billion in 2003, a compound annual growth rate of 138.7%.

According to IDC, small businesses, those with less than 100 employees, accounted for 46% of the total web hosting market in 1998 in the U.S., and IDC predicts this percentage will grow to 61% by 2003, at which time small businesses are projected to account for $10.7 billion of the total $18.9 billion U.S. web hosting market. In addition, IDC predicts that the small business segment of the market will grow at a compounded annual growth rate of approximately 96% between 1998 and 2003, versus 73% for medium and 78% for the large business segments. According to IDC, at the end of 1998 only 17% of an estimated 7.4 million small businesses in the U.S. had web sites. IDC predicts that by the end of 2003, the number of small businesses in the U.S. will grow to 8.2 million, 62% of which are estimated to have web sites.

  • Rating

    5/5

Related Articles

Comments (2)

  • Gravatar - Deano
    Deano 16:10, January 29, 2006
    Thx for the article, I never really thought about this until I read your article.<br />
    <br />
    Currently Im looking for an alternative dedicated server host called 123-reg.<br />
    <br />
    Im having around 10gb bandwidth aday, so bandwidth and uptime is a major issue I have.<br />
    <br />
  • Gravatar - runningyour.com
    runningyour.com 08:16, August 7, 2006
    Great article! Having backups is crucial! However, second harddrive itself won't save you - make sure you have a copy of your backups at home or at work or somewhere else. Why? Because your serving hosting company can wipe them accidentally. It happened to me - they were performing OS reload on the first harddrive and destroyed my backups on my second harddrive even though I repeatedly asked them not to do it! True story... I'm glad I had backups at home!<br />
    <br />
    Michael

Add Your Thoughts

WebHostGear.com is a hosting directory, not a web host.

Copyright © 1998-2018 WebHostGear.com