Like this post Just What is an ITIL Service Anyway? by IT Skeptic (Rob England): "An IT service is the availability and/or consumption of a type of transaction running on technology." Agree 100%. Where do transactions live? Inside applications. That means that applications may be IT services, a point of view I still hold to... and I still believe that too much of ITIL was written from a point of view that sees the application world as somehow different from the IT service world... a foreign land, too technical, and not really business-focused - when the exact opposite is true, the application is the service, and all those business analysts and developers are the essential solutions delivery core of the service lifecycle.