NetConnect and 24SevenOffice moving towards a partnership
Oslo, 15 June, 2010: NetConnect ASA ("NetConnect") today announced a letter of intent with 24SevenOffice AS ("24SevenOffice") collaborate to create a one stop shop for SMBs needs for Web applications.
"SMBs need a one stop shop for Web applications on a standardized cloud platform. A clear trend is that the market for hosted Web applications is growing much faster than the market for onsite applications. We even anticipate the software market to decline as the market for Web applications is gaining momentum. And adoption will be driven by the introduction of self-serviced, standardized platforms that can host all the Web applications an SMB needs. NetConnect has built a cloud platform for Web applications based on the industry standard Microsoft Office SharePoint. By merging the 24SevenOffice business Web applications with the NetConnect Team Portal cloud platform for SaaS applications, we are facilitating the move for SMBs towards outsourced Web applications and away from in-house software", says Rolf Larsen, CEO NetConnect.
NetConnect and 24SevenOffice will jointly develop the necessary components needed make their solutions tightly integrated. The two companies are both offering Web based software as services (SaaS). The total cost of ownership is usually much lower when renting a Web based SaaS application, and gives businesses a much higher degree of flexibility and control over its usage of software licenses. The SaaS market is expected to increase by 27 % annually during the next four years, contrary to traditional local software installations which are predicted to grow by only 4 % annually during the same period.
"24SevenOffice will continue to invest significantly in growth activities, and building a strong partnership with NetConnect will expand our sales model and sales channels. The ability to serve SMBs with nearly all necessary Web applications to run a business will attract many more companies to the Web applications and services we currently offer. Creating a one stop shop for Web applications is, however, not done overnight, and will require ongoing efforts from both 24SevenOffice and NetConnect. When ready, 24SevenOffice will offer this joint solution to all our customers", says Stian Rustad, CEO 24SevenOffice.