FEDERAL NETWORK MANAGEMENT MAR 1991- 1996 About INPUT INPUT provides planning information, analysis, and recommendations for the information technology industries. Through market research, technology forecasting, and competitive analysis, INPUT supports client management in making informed decisions. Subscription services, proprietary research/consulting, merger/acquisition assistance, and multiclient studies are provided to users and vendors of information systems and services. INPUT specializes in the software and services industry which includes software products, systems operations, processing services, network services, systems integration, professional services, turnkey systems, and customer services. Particular areas of expertise include CASE analysis, information systems planning, and outsourcing. Many of INPUT'S professional staff members have more than 20 years' experience in their areas of specialization. Most have held senior management positions in operations, marketing, or planning. This expertise enables INPUT to supply practical solutions to complex business problems. Formed as a privately held corporation in 1974, INPUT has become a leading international research and consulting firm. Clients include more than 100 of the world's largest and most technically advanced companies. INPUT OFFICES North America International San Francisco London 1280 Villa Street INPUT LTD. CA Mountain View, 94041-1194 Piccadilly House Tel. (415) 961-3300 Fax (415) 961-3966 33/37 Regent Street London SW1Y 4NF, England New York Tel. (071) 493-9335 Fax (071) 629-0179 Atrium at Glenpointe 400 Frank W. Burr Blvd. Paris Teaneck, NJ 07666 INPUT SARL Tel. (201) 801-0050 Fax (201) 801-0441 24, avenue du Recteur Poincare 75016 Paris, France Washington, D.C. Tel. (33-1) 46 47 65 65 Fax (33-1) 46 47 69 50 INPUT, INC. 1953 Gallows Road, Suite 560 Frankfurt VA Vienna, 22182 INPUT LTD. Tel. (703) 847-6870 Fax (703) 847-6872 Sudetenstrasse 9 D-6306 Langgons-Niederkleen, Germany Tel. (0) 6447-7229 Fax (0) 6447-7327 Tokyo INPUT KK Saida Building, 4-6 Kanda Sakuma-cho, Chiyoda-ku Tokyo 101, Japan Tel. (03) 3864-0531 Fax (03) 3864-4114 M&S 459/01 5/91 OCTOBER 1991 NETWORK FEDERAL MANAGEMENT MARKET 1991-1996 INPUT VA 1953 Gallows Road, Suite 560 Vienna, 22182 (703) 847-6870 FEDERAL NETWORK MANAGEMENT MARKET, 1991-1996 Published by INPUT 1280 Villa Street Mountain View, CA 94041-1194 U.S.A. Federal Information Systems and Services Program (FISSP) Federal Network Management Market, 1991-1996 Copyright ©1991 by INPUT. All rights reserved. Printed in the United States of America. No part of this publication may be reproduced or distributed in any form or by any means, or stored in a data base or retrieval system, without the prior written permission of the publisher. FINWM«301 • 1991 FEDERAL NETWORK MANAGEMENT MARKET, 1991-1996 INPUT Abstract INPUT expects the federal network management market to grow from $91 million in FY 91 to $180 million in FY 96, at a compound annual growth rate of 15%. The professional services component of network management, while remaining the largest category, will lag the other categories (hardware and software) in growth rates. Most agencies intend to self-manage their networks, without using a contractor. To date, federal departments have followed a path similar to that of the private sector in managing their networks. Netview and Novell are the most common wide-area and local-area network management products. Currently, one-quarter of federal departments contract for wide-area network management, while only one-tenth contract for local-area net- work management. This report contains 106 pages and 36 exhibits. O1991 by INPUT. ReproductionProhibited. AUTHOR TITLE DATE BORROWER'S NAME LOANED -- CAT. No. 23-108 PRINTED IN U. S. A: 1111 FEDERAL NETWORK MANAGEMENT MARKET, 1991-1996 INPUT Table of Contents Introduction 1-1 I A. Purpose and Scope 1-1 B. Methodology 1-2 C. Report Organization 1-3 H Executive Overview H-l A. Federal Market Pressures II- B. Market Forecast II-3 C. Federal Local-Area Networks II-4 D. Federal Wide-Area Networks II-5 E. Enterprise-Wide Networks II-5 F. Federal Network Management II-6 G. Recommendations II-7 HI Market Analysis and Forecast in-1 A. Market Definition and Structure III-3 B. Federal Networking III-4 C. Managing Enterprise Networks III-6 D. Market Forecast III-8 IV Federal Network Management IV- A. Wide-Area Networks IV- 1. Connection Methods IV- 2. Defense/Civilian Networks IV-3 3. Network Types IV-5 4. Wide-Area Network Reasons IV-5 FINWM © 1991 by INPUT. Reproduction Prohibited. FEDERAL NETWORK MANAGEMENT MARKET, 1991-1996 INPUT Table of Contents (Continued) B. Local-Area Networks IV-7 LAN Network Types IV-7 1. 2. LAN-to-LAN Connections IV-9 3. LAN-to-WAN Connections IV-10 C. Enterprise Networks IV-11 1. Enterprise Network Interest IV-12 2. Enterprise Network Types IV-13 3. Enterprise Network Plans IV-14 D. Federal Network Management IV-15 1. Wide-Area-Network Management IV-16 2. Local-Area-Network Management IV-20 3. Integrated Network Management Product Needs IV-23 SNMPorCMIP 4. IV-25 5. Network Management and FTS 2000 IV-27 E. Conclusions and Recommendations IV-27 Appendixes A. Federal Network Management User Questionnaire A-l B. Definitions B-l A. Delivery Modes B-l B. Hardware/Hardware Systems B-9 C. Telecommunications B-ll D. General Definitions B-13 E< Other Considerations B-21 C. Glossary of Acronyms C-l A. Federal Acronyms C-l B. General and Industry Acronyms C-ll D. Policies, Regulations, and Standards D-l OMB A. Circulars D-l B. GSA Publications D-l DoD C. Directives D-l D. Standards D-2 INPUT E. Related Reports E-l F. About INPUT F-l C1991 by INPUT. ReproductionProhibited. FINWM FEDERAL NETWORK MANAGEMENT MARKET, 1991-1996 INPUT Exhibits n 1 Major Federal Telecommunications Market Impacts IM 2 Federal Network Management Market, 1991-1996 II-3 3 Federal Local-Area Networks II-4 4 Federal Enterprise Networks II-6 5 Recommendations II-7 m 1 WAN/LAN m-4 Characteristics 2 Key Management Considerations m-7 3 Federal Network Management Market, 1991- 1996 in-io IV -1 Wide-Area Connection Methods IV-2 — -2 Wide-Area Networks Civilian versus Defense IV-4 — -3 Wide-Area Network Circuits Leading Civilian IV-4 Departments -4 Federal Wide-Area Network Types IV-5 -5 Reasons for Wide-Area Networks IV-6 — -6 Local-Area Network Civilian versus Defense IV-7 — -7 Local-Area Network Leading Civilian Departments IV-8 -8 LAN-to-LAN Connections IV-9 WAN -9 Agencies with LAN-to- Connections IV-11 10 Enterprise Network Interest IV-12 11 Enterprise Network Type IV-13 12 Enterprise Networking Plans IV-14 •13 Enterprise Network Implementation Timeframe IV-15 •14 Network Management Approach IV-16 — •15 Network Management Services Civilian versus Defense IV-17 — •16 Network Management Service Leading Civilian IV-18 Departments •17 Network Control Centers IV-18 18 Wide-Area Network Management Approach IV-19 19 Network Management Approach IV-20 20 Using LAN Management Systems IV-21 LAN •21 Network Management Systems IV-21 LAN •22 Management Product Features IV-22 23 Enterprise Network Management Needs IV-23 24 Technology Availability IV-24 •25 Conclusions IV-28 26 Recommendations IV-29 FINWM O 1991 by INPUT. Reproduction Prohibited. Ill FEDERAL NETWORK MANAGEMENT MARKET, 1991-1996 INPUT Exhibits (Continued) — B -1 Information Services Industry Structure 1991 B-2 -2 Software Products B-5 iv ©1991 by INPUT. ReproductionProhibited. FINWM