Managed hosting provides better access to data and more efficient disaster recovery than office-based IT, it has been claimed.
According to Rob Lovell, chief executive and co-founder of IT-on-demand provider ThinkGrid, managed hosting allows an end-user to connect to centrally-based information from wherever they are.
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"Having it hosted means that you've got that accessibility anywhere and in general you also get better availability and backups," he added.
"That's the general benefit of getting a hosted service opposed to buying servers and software and sticking it under someone's desk."
Mr Lovell went on to say that when people understand their data, applications and software can be better looked after through managed hosting than they can do themselves, more people in the IT and technology industries will begin working from home.
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In January, enterprise application integration provider Morse stated that virtualisation is becoming increasingly popular, with 50 per cent of UK businesses using it to cut costs.