Service providers offer specialized assistance or services, such as internet, network, application, hosting, and telecommunication services. They typically charge a monthly subscription fee and have a narrow focus and customer base. ISPs, NSPs, ASPs, hosting providers, and telecommunication service providers are examples of service providers.
A service provider is a company that provides specialized assistance or specialized services rather than an actual product. The term is typically saved for companies related to communication or technology, such as cell phone companies or Internet service providers. Other service-related businesses, such as banking or auto mechanics, are rarely referred to as service providers, though the name would fit. It is common for businesses in this field to provide subscriptions to their customers rather than working through one-off sales.
There are many different types of service providers. These companies typically have a narrow focus and customer base. While it’s not uncommon for a person to deal with more than one type of service provider, it’s not uncommon for that person to deal with two of the same type. For example, few people have more than one type of Internet, cable and DSL, coming into the same house.
Internet Service Providers (ISPs) provide access to the Internet and are a foundation for many other computer service providers. While there are a wide variety of service types, dial up, cable modem or DSL to name a few, the overall service is similar across all companies. Most ISPs charge a monthly subscription fee in return to allow the user access to their systems and network to transmit data. Their network is in turn connected to others, allowing for full Internet access.
A network service provider (NSP) connects ISP and corporate networks together, allowing separate networks to talk. Some NSPs have moved into home and business service as ISPs, blurring the line between the two types of companies. NSPs can also provide access to telephone companies, allowing the transmission of normal and cellular calls.
Application Service Providers (ASPs) provide computer services such as program access or remote troubleshooting and repair. These software-as-a-service companies typically have highly specialized software used for specific tasks. This software is used through a web portal for as long as required by the subscriber company. While typically considered business services, online games also fall under the ASP header. These games can have millions of paying subscribers making them one of the largest sectors of the ASP market.
Hosting providers contain Internet-based information, such as web pages or downloadable files. Hosts provide a platform for creating web pages, storing files, or exchanging information. This service prevents home and business users from maintaining a web server for their information.
A telecommunication service provider allows people to talk to each other through the telephone system. Landline communication has become less common, and most communication is via satellite and terrestrial networks. It is increasingly common for a land call and a cell phone call to be carried over the same line as an Internet video or cable television show.
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