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Network World
Spending Survey
02/26/2017, Page 1
Capital equipment spending
Under $100,000 -
$100,000 $499,000 $500,000 +
Less than -26 4% 2% 2%
-25 to -1 7% 8% 10%
0 32% 18% 16%
1-9 10% 12% 12%
10 - 19 16% 18% 17%
20 - 29 8% 12% 12%
30 - 49 8% 8% 10%
50+ 16% 22% 22%
Under $100,000 -
$100,000 $499,000 $500,000+
Less than -26 2% 0% 1%
-25 to -1 6% 5% 6%
0 36% 25% 19%
1-9 15% 18% 19%
10 - 19 15% 22% 22%
20 - 29 8% 11% 11%
30 - 49 7% 8% 9%
50+ 11% 12% 13%
Under $100,000 -
$100,000 $499,000 $500,000+
Less than -26 2% 2% 2%
-25 to -1 10% 12% 8%
0 51% 34% 35%
1-9 11% 14% 12%
Network World
Spending Survey
02/26/2017, Page 2
10 - 19 10% 14% 18%
20 - 29 5% 8% 8%
30 - 49 5% 6% 8%
50+ 6% 10% 8%
Network World
Spending Survey
02/26/2017, Page 3
1999 purchases
Under $100,000 -
$100,000 $499,000 $500,000+
Hubs 65% 71% 65%
Routers 48% 71% 82%
Layer 2 Switches 20% 34% 49%
Layer 3 Switches 18% 37% 57%
Gigabit Ethernet Switches 13% 28% 50%
ATM Switches 6% 16% 37%
Token Ring Switches 3% 5% 8%
Remote Access Devices 25% 46% 53%
Videoconferencing 19% 30% 43%
VPN Equipment 16% 37% 47%
Wireless Equipment 20% 29% 39%
Firewalls 42% 58% 68%
Web Servers 45% 62% 73%
Non-Web Servers 38% 51% 50%
Messaging/Collaboration Tools 19% 30% 35%
Network Management Tools 46% 66% 81%
Directories 5% 12% 17%
Caching/Load Balancing Tools 8% 18% 31%
E-Commerce Software 13% 19% 28%
Network Operating Systems 59% 70% 66%
Other 2% 3% 3%
Network World
Spending Survey
02/26/2017, Page 4
Financial Resources Compared to Last Year
Under $100,000 -
$100,000 $499,000 $500,000+
Much Worse 5% 3% 3%
Somewhat Worse 14% 12% 15%
About The Same 59% 54% 50%
Somewhat Better 19% 23% 24%
Much Better 4% 8% 8%
Building boom
Major network projects in 1999
Under $100,000 -
$100,000 $499,000 $500,000+
LAN Infrastructure Upgrade 33% 48% 56%
LAN Backbone Upgrade 20% 37% 48%
WAN Upgrade 17% 35% 46%
Network Management Upgrade 21% 35% 42%
Internet/Intranet Upgrade 28% 28% 36%
Converged Voice/Data Network 7% 13% 21%
Help Desk Upgrade 8% 20% 27%
Other 5% 4% 4%
Budget limitations
More than half of respondents said budget limitations didn't stand in the way of an
Under $100,000 -
$100,000 $499,000 $500,000+
Yes 47% 43% 40%
No 53% 58% 60%
Network World
Spending Survey
02/26/2017, Page 5
Under $100,000 -
$100,000 $499,000 $500,000+
LAN Infrastructure Upgrade 24% 21% 19%
LAN Backbone Upgrade 17% 14% 14%
WAN Upgrade 13% 15% 16%
Network Management Upgrade 15% 16% 14%
Internet/Intranet Upgrade 17% 10% 8%
Converged Voice/Data Network 6% 11% 14%
Help Desk Upgrade 6% 10% 11%
Other 1% 2% 3%
Network World
Spending Survey
02/26/2017, Page 6
Y2K's impact on spending
Did Y2K remediation issues have an impact on your network spending in 1999?
Under $100,000 -
$100,000 $499,000 $500,000+
Yes 47% 52% 55%
No 54% 48% 45%
Network World
Spending Survey
02/26/2017, Page 7
Company size
Nunber of end users in 1999
Under $100,000 -
$100,000 $499,000 $500,000+
Under 100 39% 12% 4%
100 - 999 40% 47% 21%
1,000+ 21% 42% 75%
Under $100,000 -
$100,000 $499,000 $500,000+
Decreased 6% 9% 11%
No Change 70% 50% 39%
Increased 24% 41% 50%
Industry
Under $100,000 -
$100,000 $499,000 $500,000+
Network World
Spending Survey
02/26/2017, Page 8
Manufacturing 19% 19% 15%
Finance/Banking 5% 6% 9%
Insurance/Real Estate/Legal Svs 5% 8% 4%
Health Care Services 4% 8% 8%
Hospitality/Entertainment/Rec. 1% 1% 1%
Media/TV/Cable/Print 3% 3% 2%
Retail/Wholesale/Business Svs. 7% 6% 7%
Transportation 2% 2% 5%
Utilities 1% 2% 5%
Education 24% 18% 14%
Process Industries 2% 3% 3%
Government 15% 13% 18%
Military 3% 5% 5%
Non-Profit 3% 2% 0%
Other 7% 5% 4%
Network World
Spending Survey
02/26/2017, Page 9
of a company's overall network budget.
TOTAL
16.1%
3.8%
18.9%
4.5%
22.1%
7.1%
7.8%
4.5%
15.1%
TOTAL
9%
32%
29%
27%
3%
TOTAL
48%
40%
9%
3%
1%
Network World
Spending Survey
02/26/2017, Page 10
TOTAL
3%
8%
23%
11%
17%
11%
8%
20%
TOTAL
1%
5%
28%
17%
19%
10%
8%
12%
TOTAL
2%
10%
41%
12%
Network World
Spending Survey
02/26/2017, Page 11
14%
7%
6%
8%
Network World
Spending Survey
02/26/2017, Page 12
TOTAL
67%
64%
32%
34%
28%
17%
5%
39%
29%
31%
28%
54%
58%
46%
27%
62%
11%
17%
19%
65%
3%
resources they had in 1999 vs. the tasks they needed to accomplish.
TOTAL
14%
43%
39%
4%
Network World
Spending Survey
02/26/2017, Page 13
TOTAL
4%
13%
55%
22%
7%
TOTAL
44%
33%
30%
31%
30%
13%
17%
4%
TOTAL
44%
57%
dget limitations.
Network World
Spending Survey
02/26/2017, Page 14
TOTAL
22%
15%
14%
15%
12%
10%
9%
2%
Network World
Spending Survey
02/26/2017, Page 15
k spending in 1999?
TOTAL
51%
49%
TOTAL
48%
52%
TOTAL
48%
11%
22%
11%
25%
8%
Network World
Spending Survey
02/26/2017, Page 16
TOTAL
21%
37%
42%
TOTAL
25%
36%
40%
TOTAL
16%
41%
13%
10%
7%
14%
TOTAL
8%
55%
37%
TOTAL
Network World
Spending Survey
02/26/2017, Page 17
18%
6%
6%
7%
1%
3%
7%
3%
2%
19%
3%
15%
4%
2%
6%
TOTAL
13%
15%
18%
9%
15%
7%
12%
6%
3%
3%
Network World
Spending Survey
02/26/2017, Page 18