With the rise of cloud technology, most of the business houses have been seen taking the advantage of this technology. Owing to the rising importance of cloud computing, Hitech-cloud hosting solutions has recently launched application hosting services which is a part of cloud-computing. According to the research done by the company on 100 small and medium sized businesses in Texas, United States, 85 percent of the companies outsource application hosting to a hosting service provider, owing to high cost of maintaining IT infrastructure. Most of the applications used by these companies were Quickbooks, Peachtree, Drake, and Lacerte. On asked, "Why are they opting for Application Hosting services?” The answer from most of the respondents was, hosting application has many advantages like it allows multiple users, to use the same application at the same time, it reduces cost of setting IT infrastructure and also reduces extra manpower. Mr. Harry Lawrence, Service designer and IT head of Hitech-cloud said " Application hosting technology is a blessing to all the medium and small sized businesses who cannot afford the high cost of maintaining heavy IT infrastructure, whereas on the other hand, they can outsource the services on minimum payment of monthly rent" Hitech-cloud hosting services has made a sound revolution by ensuring best quality in its services that helps in boosting the profits of the clients. On the basis of the research made on the 100 companies, the company is coming up with a journal, titled “Application hosting increasing the productivity of small businesses” which will be published shortly. The company is really looking forward to materialize the research and enlighten other companies about the benefits of application hosting. The company strongly believes that its initiatives will be very helpful for small and medium sized business. Through its website called hitech-cloud.com, which was launched in the year 2012, the company is offering better services related to cloud computing.