IPv6 Survey:

Taking the Federal Pulse on IPv6

Summary Results

Market Connections, Inc.

June 2006

Outline

Goals and Objectives Methodology Respondent Demographics General Business and IT Issues and Challenges Understanding of IPv6 Respondents Directly Involved with IPv6: Status and

Challenges of Transition and Implementation of IPv6 Vendor Outsourcing Key Findings (to come)

Goals and Objectives

Study undertaken on behalf of Cisco Systems toenhance marketplace understanding and strategicdirection. Specifically we looked at:

– Business and IT issues and challenges agencydecision makers face on a daily basis.

– Involvement and understanding of IPv6.

– Challenges and barriers surrounding IPv6transition plans and implementation.

– Vendor outsourcing and contractors likely to beconsidered as a networking solution provider forIPv6 implementation.

Methodology

200 telephone interviews conducted in May2006 from a Government Computer Newssubscriber list.

Respondents screened for level ofinvolvement in the implementation of IT andnetwork solutions for their agency.

Mix of civilian and defense agencies,business and IT job functions andinvolvement with IPv6.

Respondent Demographics

Overall Sample Population:Agency, Job Function andInvolvement

Agency Defense or Intelligence

28%

Civilian or Independent

72%

Primary Job Focus

IT related53%Line of

Business47%

You are an employee of which of the following? Are you mainly involved in the daily business operations of your agency or more specifically, IT related functions?

Please indicate the scope of your involvement of IT and network solutions for your agency or organization.

41%

42%

50%

53%

54%

63%

0% 10% 20% 30% 40% 50% 60% 70%

Authorize/approvepurchases

Establish businessplan

Establish tech specsor architects

Determine the need

Recommend/specifybrands

Evaluateproducts/services

Involvement in IT

Overall Sample Population:Involvement in IPv6

41%

26%

59%

75%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Involved

Not involved

Involvement by Line of Business

IT related Business

The survey meant to evaluateattitudes of all IT decision makerstoward IPv6.

One-third of respondents weredirectly involved in the planning orimplementation of IPv6.

Significantly more IT related anddefense agency respondents wereinvolved in the planning orimplementation of IPv6 thanbusiness or civilian respondents.

On a scale of one to five, where one is not at all involved and five is very involved, how involved are you in the planning or implementation of IPv6 within your agency organization?

Not directly involved

66%

Involved34%

General Business and ITIssues and Challenges

All IT Decision Makers:Business Issues

58%

64%

69%

74%

83%

85%

0% 20% 40% 60% 80% 100%

% Rating Important

FISMA compliance

Cost reduction

Regulatorycompliance

Citizen satisfaction

Continuity ofoperations (COOP)

Workforceproductivity

Overall, workforce productivityand continuity of operations(COOP) were the most importantbusiness issues to respondents.

Business respondents were morefocused on the importance ofworkforce productivity, citizensatisfaction and cost reductionthan IT respondents.

On a scale of one to five where one is not at all important and five is very important, how important are the following business issues right now?

All IT Decision Makers:IT Issues

68%

73%

77%

86%

92%

93%

0% 20% 40% 60% 80% 100%

% Rating Important

Interoperability

Cost of operations

Networkmanagement

Network performance

Quality of service

Privacy and securityof communications

While most IT issues were importantto respondents, privacy and securityof communications and quality ofservice were most important, overall.

Respondents directly involved in IPv6rated network performance,management and cost of operationssignificantly more important.

Interoperability was more important todefense agency respondents thancivilian respondents.

On a scale of one to five where one is not at all important and five is very important, how important are the following IT issues right now?

Understanding of IPv6

Concern for Availability of IPAddresses by Involvement

Overall, 48% of respondents wereconcerned with the availability of IPaddresses.

Respondents involved with theplanning or implementation of IPv6were significantly more concernedfor the availability of IP addressesgoing forward.

On a scale of one to five, where one is not concerned at all and five is very concerned, how big of a concern for you is the availability of IP addresses going forward?

42%

58%

0% 10% 20% 30% 40% 50% 60%

% Concerned

Not involved withIPv6

Involved with IPv6

Overall Sample Population:What is Associated with IPv6?

4%

5%

5%

8%

0% 5% 10% 15% 20%

Bettercommunication

More IP addresses

Cost

Security

Top of mind, respondentsassociated security with IPv6implementation.

There was no clear, singleassociation with IPv6.Respondents’ answers variedwidely.

What do you think of first or associate with IPv6 implementation?

Overall Sample Population:IPv6 Benefits and Challenges

Security and additional IPaddresses were the leading top ofmind benefits respondentsassociated with IPv6implementation.

Cost and security were noted asthe top challenges respondentswill face implementing IPv6.

What do you believe will be the ONE most significant benefit once the implementation of IPv6 is completed?

What do you believe will be the ONE most significant challenge or barrier you will face implementing IPv6?

4%

9%

10%

0% 5% 10% 15% 20% 25% 30%

Better communication

More IP addresses

Security

IPv6 Benefits

6%

11%

0% 5% 10% 15% 20% 25% 30%

Security

Cost

IPv6 Challenges

Specific Business Issues ImpactingImplementing IPv6

49%

56%

58%

64%

0% 10% 20% 30% 40% 50% 60% 70%

% Stating IPv6 Will Have an Impact

Regulatorycompliance

Citizen satisfaction

Workforceproductivity

Continuity ofoperations (COOP)

Business respondents believedimplementing IPv6 would havethe most significant impact onCOOP, workforce productivityand citizen satisfaction.

On a scale of one to five where one is no effect at all and five is a significant impact, how do you believe implementing IPv6 will affect the followingbusiness issues? (Asked only of those primarily involved in agency business activities.)

Specific IT Issues ImpactingImplementing IPv6

70%

73%

0% 20% 40% 60% 80%

% Stating IPv6 Will Have an Impact

Privacy and securityof communications

Expanding networkcapacity/scalability

IT respondents believedimplementing IPv6 would havethe most significant impact onexpanding networkcapacity/scalability and privacyand security of communications.

On a scale of one to five where one is no effect at all and five is a significant impact, how do you believe implementing IPv6 will affect the following ITissues? (Asked only of those primarily involved in agency IT activities.)

Respondents Directly Involved with IPv6:Status and Challenges of

Transition and Implementation of IPv6

Involvement with IPv6

42%

44%

58%

68%

83%

0% 20% 40% 60% 80% 100%

% Involved

In-house applicationdevelopers

Outside consultant orvendor

CIO or other C-levelexecutive(s)

Program/project manager

IT/IS/MIS/Network/Systemsmanager

According to respondents,IT/IS/MIS/Network/Systemsmanagers will be the mostinvolved in the planning andimplementation of IPv6.

Where one is not at all involved and five is very involved, to what extent are the following involved in the planning and implementation of IPv6 withinyour agency or organization?

Expected Timeline of IPv6Planning and Implementation

Less than two percent ofrespondents have completedtheir IPv6 planning process.

Only fourteen percent ofrespondents have begun theirIPv6 implementation process.

More than one-third ofrespondents will not completetheir IPv6 planning orimplementation process until the2007 fiscal year.

When do you expect to complete your IPv6 planning process?

When do you expect to begin your IPv6 implementation process?

IPv6 Planning Complete

Don't know27%

Already complete

2%

Within the 2007 fiscal year

37%

Within the next three months

4%Within the 2006 fiscal year

30%

IPv6 Implementation Complete

Within the 2006 fiscal year

18%

Already started14%

Don't know30%

Within the 2007 fiscal year

38%

Not Yet Begun Milestones ofIPv6 Conversion

26%

31%

34%

39%

39%

51%

53%

60%

0% 10% 20% 30% 40% 50% 60% 70%

% Who Have Not Yet Begun

Inventory of existing technology devices

Impact and risk analysis stage

Assigned an officer to coordinate planning

Identified funding for implementation

IPv6 transition plan

All agency infrastructures using IPv6

Monitor benefits of IPv6

Received funding approval

Sixty percent (60%) ofrespondents had not yet begun toreceive funding approval.

Defense agency respondentswere more likely to haveassigned an officer to coordinateand lead agency planning thancivilian agency respondents.

Please tell me if you have not yet begun, are in the process of or have completed working on the following milestones for IPv6 conversion.

Completed Milestones of IPv6Conversion

3%

8%

9%

17%

20%

22%

28%

31%

0% 10% 20% 30% 40%

% Who Have Completed

All agency infrastructures using IPv6

IPv6 transition plan

Monitor benefits of IPv6

Received funding approval

Impact and risk analysis stage

Identified funding for implementation

Assigned an officer to coordinate planning

Inventory of existing technology devices

Respondents were most likely tobe in the process of or completedinventorying existing technologydevices.

Less than ten percent ofrespondents have completedmonitoring the benefits of IPv6,an IPv6 transition plan or allagency infrastructures usingIPv6.

Please tell me if you have not yet begun, are in the process of or have completed working on the following milestones for IPv6 conversion.

Challenges ImplementingIPv6

45%

51%

52%

62%

0% 10% 20% 30% 40% 50% 60% 70%

% Considered a Challenge

Lack of experiencedagency staff

Other projects gethigher priority

Developing transitionplan

Funding/budget

Funding/budget was the topchallenge respondents werefacing completing their IPv6implementation.

A lack of time and experiencedstaff also presents a challenge tomany respondents.

On a scale of one to five, where one is not at all challenging and five is extremely challenging, how challenging are or were the following in yourcompletion of IPv6 implementation?

Addressing IPv6 Planning andImplementation

Half of respondents plan todevelop their transition plan in-house.

Almost half of respondents wereplanning to collaborate with avendor to address IPv6implementation in their agency.

Which of the following best describes how you are planning to or already addressing the transition plan of IPv6 within your agency or organization?

Which of the following best describes how you are planning to or already addressing the implementation of IPv6 within your agency or organization?

14%

36%

50%

0% 10% 20% 30% 40% 50% 60%

Outsource thedevelopment andimplementation

Collaborate with avendor

Develop the solutionplan in-house

Addressing Transition Plan

8%

21%

29%

42%

0% 10% 20% 30% 40% 50% 60%

Outsource the entireimplementation

Off-the-shelfsoftware/solutions

Internal agency staff todevelop a custom

solution

Collaborate with avendor

Addressing Implementation

IPv6 Mandate

More than half of respondentswould likely consider IPv6 even ifit had not been mandated.

Reasons for not consideringimplementing IPv6 if it had notbeen mandated include: cost, nocompelling business driver, andhesitancy to implement unproventechnologies.

Without a mandate in place,almost forty percent ofrespondents would not haveimplemented IPv6 until FY 2008or later.

How likely would you be to consider IPv6 now if it had not been mandated? What is your reason for not considering IPv6 implementation?

Without the mandate in place, when do you believe your agency would have implemented IPv6?

35%

53%

0% 10% 20% 30% 40% 50% 60%

Somewhat/veryunlikely

Somewhat/very likely

Likelihood to Consider Without a Mandate

30%

2%

29%

39%

0% 10% 20% 30% 40% 50% 60%

Don't know

Within the 2006 fiscal year

Within the 2007 fiscal year

Fiscal year 2008 or later

When Implement Without a Mandate

Vendor Outsourcing

Solution Provider Assistance forIPv6 Implementation

15%

19%

30%

31%

37%

43%

0% 10% 20% 30% 40% 50%

Third party analysis

Developing abusiness case

Ongoing maintenanceand user support

Risk management

Tech assistanceduring planning stage

Tech support duringimplementation

Respondents were most likely toconsider using an industrysolution provider for technicalsupport during implementation,and for technical assistanceduring planning stage.

Which of the following could an industry solution provider assist you with to improve or enhance your IPv6 implementation?

Vendors Associated with IPv6

More than half of respondentscould not name a top of mindvendor they considered a leaderfor planning and implementingIPv6 in federal agencies.

When given a list of vendors tochoose from, almost three-quarters of respondents selectedCisco as the networking companythey most associate with IPv6.

Which ONE company would you consider a leader in helping plan and implement IPv6 in federal agencies?

Which ONE of the following networking companies do you most associate with IPv6?

3%

3%

22%

51%

0% 10% 20% 30% 40% 50% 60%

AT&T

IBM

Cisco

Don't know

Top of Mind IPv6 Leader

2%

3%

5%

5%

13%

73%

0% 20% 40% 60% 80%

Sprint

AT&T

Lucent

Juniper

Verizon

Cisco

ONE Company Most Associated with IPv6

Important Attributes WhenChoosing a Vendor

70%

74%

74%

76%

77%

0% 20% 40% 60% 80%

% Considering Important

Supports ongoingoperations

Training and support

Cost

Provides riskmitigation tools for

transition

Provides a system-wide view

The most important attributeswhen selecting a vendor forrespondents included: providing asystem-wide view, risk mitigationtools for transition, cost, andtraining and support.

Using a scale of one to five, where one is not at all important and five is very important, how important are the following attributes/factors whenchoosing a vendor to assist you in your efforts?

Contact Information

Market Connections, Inc

13135 Lee Jackson MemorialHwy, Suite 380

Fairfax, VA 22033

703.378.2025

www.marketconnectionsinc.com