Application service provider

[Mark David]

A third-party entity that manages and distributes software-based services and solutions to customers from a central data center. ASPs provide an alternative to developing, or else purchasing and maintaining applications in-house. Accordingly, ASPs run and maintain software applications on behalf of the end-user, who accesses them over the Internet or through a virtual private network. In essence, ASPs are a way for companies to outsource some or almost all aspects of their information technology needs.