Service Oriented Architecture (SOA) and Web Services (along with the underlying XML protocol) promise to greatly simplify the implementation of distributed computing applications, both within the enterprise and between enterprises. The widespread acceptance of Web Services across operating systems, middleware, and application vendors will lead to simplified interoperability, thus allowing for increased business agility and lower development costs.
Today enterprises can use IP (Internet Protocol) Virtual Private Network (VPN) offerings from their IP service provider for secure high-performance interconnect services both within the enterprise's own sites and with partners. Price erosion in voice services and intense competition in data services is leading many IP-based service providers to seek out new revenue opportunities by offering new services to their enterprise customers. As service providers move to offer innovative new Web Services, enterprises will benefit just as they did when service providers moved from traditional private line services to IP-based services.