IDC Cautions Network Managers: Narrow Scope of Internet VPN Investments

As network managers are increasingly challenged to evaluate the Internet as part of their enterprise networking solution, they need to balance the lure of its benefits with the realities of its limits.

"The Internet is not ready for prime time mission critical corporate applications, but it is clearly an important future solution," said Mark Winther, IDC/LINK`s group vice president, Worldwide Telecommunications research.

"The Internet`s lack of security standards, its inconsistent response times and quirky reliability will limit its appeal as a reliable business medium for the next twenty-four months."

Using the Internet for the Corporate Virtual Private Network, a new report issued by IDC in conjunction with Network World, provides network managers with a comprehensive overview of the costs and management issues associated with the application and use of Internet virtual private networks (VPNs). The report offers practical advice and considerations for network or IS managers evaluating and implementing enterprise network solutions.

Key Insights

• More than 50 percent of corporate data traffic will be outsourced to ISPs by 2001
• More than half of the ISPs in the US will disappear by the end of the decade
• Internet dial solutions can cut traditional 800-number costs by 50 percent
• Mission supporting applications like email, collaboration, and document management should be the primary Internet-based focal point for the next 18 months
• 90 percent of Global 2000 companies will use frame relay VPNs in conjunction with Internet VPNs
• Network managers should negotiate beyond downtime credits and secure penalty agreements related to network performance

Using the Internet for the Corporate Virtual Private Network, is the premier edition of the Network World Decision Support Series. The series is produced by IDC and Network World and consists of six bimonthly reports along with a valuable collection of additional IDC analysis, including technology bulletins, briefings, white papers and more.

The Using the Internet for the Corporate Virtual Private Network report provides decision makers with a useful analysis of cost, security, and performance comparisons of frame relay, private leased lines and Internet VPN offerings as well as extensive profiles of ISPs providing VPN support.

The Internet`s lack of security standards, its inconsistent response times and quirky reliability will limit its appeal as a reliable business medium for the next twenty-four months.

More than half of the ISPs in the US will disappear by the end of the decade.