Metamor Worldwide, Inc. yesterday released word of its possible merger with ISP network and managed hosting provider PSINet along with news of its ASP launch within the context of a FSP offering.

"The completion of PSINet's acquisition of Metaphor will give us a unique advantage," Art Slotkin, president, Metamor Enterprise Solutions, a division of Metamor.

Together Metamor and PSINet Inc. will offer a complete package of ISP networks and services, with Metamor supplying the implementation services and maintaining the enterprise applications provided through the ASP.

Like an ASP, Metamor's FSP offers users access to applications over the Web at a fixed monthly cost. But its FSP model allows the client to choose whatever they want from a broad continuum of services, or simply chose a service level and give Metamor the responsibility of delivery decisions, according to Slotkin.

"We believe they will chose Metamor because they have the option to seamlessly migrate to increasingly customized solutions as their business dictates," Slotkin said.

Slotkin explained to ASP-News that while Metamor Worldwide, Inc. had been hosting a number of clients in the ASP space, the company hasn't been aggressive in being an ASP.

"The approach we are taking with our new offering is to provide solutions to small to medium sized companies in different segments," he said.

Metamor will use SAP, Great Plains and Oracle to put together the offerings for specific types of customers, focusing on manufacturing companies and those looking for financial and administration systems.

ASP-News has learned that Metamor plans to launch additional capabilities that address various segments over the next six months.

These offers will be launched in a series of waves, according to Slotkin.

"Additionally, over time, we will launch offerings that address medium to large manufacturing companies and move on to the public sectors and the insurance market," he said.

According to Slotkin, no structural changes will take place within the two companies except for the formation of the integrated ASP business unit, which will report to Slotkin.