FRAMINGHAM, Mass., May 09, 2005 (BUSINESS WIRE) -- The changing ways that small businesses are using the Internet point to new opportunities for technology suppliers. According to a new study from IDC, Internet penetration is up and the share of small firms with Web sites has grown dramatically. As the Internet becomes more integral to small business operations, more advanced capabilities such as tracking site performance and providing access to more comprehensive resources for visitors will be of interest to those looking to the Internet for support of a wide range of business activities.

"The Internet has become a critical communications and promotional resource for the largest share of small businesses, changing the way they reach customers and prospects," said Raymond Boggs, vice president, Small/Medium Business research at IDC. "Small business spending on Web hosting alone is growing by 9.5% annually and will top $7.4 billion by 2009."

Among key findings discussed in this study are the following:

-- Internet access will become more widespread and roughly 80% of all small businesses will have Internet access by the end of 2009

-- Internet use for promotional purposes will continue to increase and five out of six online small businesses will have a home page by 2009

-- Online selling, while increasingly easy to implement, will remain relatively rare and only a quarter of small businesses will use ecommerce by the end of the planning period

IDC's new study, U.S. Small Business Internet 2005-2009 Forecast: Continuing Growth of Online Access, Online Promotion, and Online Selling, (IDC #33047) examines the changing use of the Internet through 2009 by small businesses - firms with under 100 employees. Forecasts are provided for the number of online small businesses, along with the number of firms with high-speed Internet access, home pages, and ecommerce. Estimates of total spending for Web site hosting are also included.

To purchase this document, call IDC's Sales hotline at 508-988-7988 or email sales@idc.com.

About IDC

IDC is the premier global market intelligence and advisory firm in the information technology and telecommunications industries. We analyze and predict technology trends so that our clients can make strategic, fact-based decisions on IT purchases and business strategy. Over 700 IDC analysts in 50 countries provide local expertise and insights on technology markets. Business executives and IT managers have relied for 40 years on our advice to make decisions that contribute to the success of their organizations.

IDC is a subsidiary of IDG, the world's leading technology media, research, and events company. Additional information can be found at www.idc.com

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SOURCE: IDC

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