ASPCON Fall 2000 Sets Stage For Hotly Debated ASP Segment.

Business & High Tech Editors

ASPCON Fall 2000

DARIEN, Conn.--(BUSINESS WIRE)--Oct. 10, 2000

Application Service Providers Win Significant Investor Support

Despite Mixed Reviews on Potential of Emerging Market

As Penton Media (NYSE: PME) prepares to raise the curtain on ASPCON Fall 2000 in Las Vegas next week, debate over the potential of the emerging ASP market shows no sign of letting up.

ASPCON Group Show Director, Denise Kettler said recent strongly contrasting news articles underscore both the excitement and controversy surrounding the new ASP market sector. ASPs - Application Service Providers - provide businesses with software applications and support via the Internet, rather than through packaged software.

"One publication reports that IDC, a leading research firm, stands by its strong revenue forecast for ASPs - $7.8 billion by 2004 - despite currently small spending in the segment," said Kettler, "while elsewhere a veteran columnist (eWeek's Michael Caton) writes a farewell opinion piece that says ASPs can't compete and the market won't wait for them to catch up.

"Such diverse opinions aren't limited to the press, either," Kettler added. "That's why we feel ASPCON is set to provide a crucial forum for industry representatives to further debate and evaluate this important sector."

ASPCON Fall 2000 runs October 16-18 at Las Vegas' Sands Expo and Convention Center. Nortel Networks and Sun Microsystems are sponsoring the conference, along with industry publications Internet World and Boardwatch Magazine.

Kettler said ASPCON registration indicates strong industry support for the gathering of ASPs, exhibitors and vendors. The convention will feature an exhibit hall showcasing hundreds of technologies geared specifically to ASPs. More than 50 educational sessions are slated, ranging from fundamental business issues, such as capital funding and legal concerns, to seminars addressing the technical side of the business.

A major driver for ASPs is the ever-growing shortage of skilled Information Technology (IT) workers. "Some industry leaders feel ASPs are perfect for pooling IT skill groups to achieve efficiencies of scale across the marketplace, much as outsourcing is transforming certain service sectors," Kettler explained.

As evidence of investor interest in the ASP segment, Kettler pointed to a recent announcement by Facts Online, Inc. The company reported that 390 U.S. companies received new funding during September and software companies led the way with more than 27 percent of funding. "But `Application Service Providers and other information services' came in a respectable second, capturing just over 11 percent," said Kettler.

Over the course of the three-day ASP convention, two industry leaders whose companies have achieved great success in the ASP market will deliver keynote speeches addressing the opportunities and challenges facing this growing sector.

"Chandra" Chandrasekhar, co-founder, CEO, and chairman of the board of Jamcracker, Inc., will deliver the opening address at 10 a.m., Monday, October 16. Red Herring magazine named Chandrasekhar to its list of "Top 10 Entrepreneurs for 2000," noting that his first Internet venture, Exodus Communication, is now valued at more than $22 billion. The magazine also named Jamcracker, Inc. to its Red Herring 100 for 2000, an annual list of top Internet-related companies.

Catherine M. Hapka, chairman, CEO and founder of Denver-based, Rhythms NetConnections, Inc., speaks to conferees on Wednesday, October 18, at 9:00 a.m. Hapka has guided Rhythms NetConnections in deploying one of the largest digital subscriber line (DSL) networks in the U.S. She holds industry-wide leadership positions as vice chair of the Association for Local Telecommunications Services and as a member of the Federal Communications Commission's Network Reliability and Interoperability Council.

For more information about registering to attend or exhibit at ASPCON, visit www.aspcon.com.

ASPCON (www.aspcon.com), is produced by Penton Media's Service Provider Events Group. The Service Provider Events Group, located in Golden, Colorado also produces ISPCON (www.ispcon.com), the leading Internet Service Provider Convention and CLECexpo (www.clecexpo.com), the leading event for Competitive Local Exchange Carriers.

Penton Media, Inc. (NYSE: PME) is a leading diversified business media company that produces market-focused magazines, Web sites, trade shows, and conferences. Penton serves the Internet/broadband; natural products/food/retail; manufacturing; electronics; design/engineering; management; supply chain/aviation; government/compliance; mechanical systems/construction; and leisure/hospitality markets. For more information, visit www.penton.com/