The document compares hosting applications on-site versus using an Application Service Provider (ASP). It outlines several key advantages of using an ASP: improved security through their infrastructure; cost savings from not needing to invest in hardware, communications, and IT expertise; and assistance meeting legal requirements for data security, backup, and disaster recovery. The document then provides details on the security, power protection, fire prevention, temperature control, and technology an ASP uses to house and manage data. It also discusses data management, administration, redundancy, and clustering services an ASP can provide. [/SUMMARY]