• Application development encapsulates three types of activities:
  

1. aimed at creating enhanced functionality
   
2. included the integration, detailed design, implement and management service
   
3. deployment services provided to support the implementation and rollout of new applications

• Application development is mainly a project-based activity, resulting in the timely completion of project deliverables at dominant service level

• Infrastructure management can be defined as preventative and remedial services that physically repair or optimize computing and communications hardware.
  

– technical troubleshooting and assistance for set-up and all fee-based hardware warranty upgrades.

– telephone and online troubleshooting, installation assistance and basic usability assistance

– operational services, application management services and helpdesk management services are considered part of infrastructure management

• Infrastructure management in offshore outsourcing relationships consist mainly of continuous services with stable requirements
  

- Technology uncertainty
- Hidden costs
- ITO remains controversial due to the unforeseeable success or failure