 
 
                              United States General Accounting Office
  _____________________________________________________________________________
  GAO                         Report to Congressional Requesters
 
 
 
  _____________________________________________________________________________
  August 1991                 HIGH-PERFORMANCE COMPUTING
 
                              High-Speed Computer
                              Networks in the United
                              States, Europe, and Japan
 
 
 
 
 
 
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  GAO/IMTEC-91-69
 

 
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                              i
 

  _____________________________________________________________________________
  GAO                    United States
                         General Accounting Office
                         Washington, D.C. 20548
                         ______________________________________________________
                         Information Management and
                         Technology Division
 
                         B-245190
 
                         September 4, 1991
 
                         The Honorable Ernest F. Hollings
                         Chairman, Senate Committee on Commerce,
                           Science, and Transportation
                         United States Senate
 
                         The Honorable Albert Gore
                         Chairman, Subcommittee on Science,
                           Technology, and Space
                         Senate Committee on Commerce, Science,
                           and Transportation
                         United States Senate
 
                         The Honorable George E. Brown, Jr.
                         Chairman, House Committee on Science,
                           Space, and Technology
                         House of Representatives
 
                         The Honorable Robert S. Walker
                         Ranking Minority Member
                         House Committee on Science, Space,
                           and Technology
                         House of Representatives
 
                         The Honorable Tim Valentine
                         Chairman, Subcommittee on Technology
                           and Competitiveness
                         House Committee on Science, Space,
                           and Technology
                         House of Representatives
 
                         The Honorable Tom Lewis
                         Ranking Minority Member
                         Subcommittee on Technology
                           and Competitiveness
                         House Committee on Science, Space,
                           and Technology
                         House of Representatives
 
 
 
 
 
 
 
 
 
 
 
 
                         Page 2             GAO/IMTEC-91-69 High-Speed Networks

  _____________________________________________________________________________
                         B-245190
 
  _____________________________________________________________________________
                         In letters dated October 2, 1990, and March 11, 1991,
                         you requested that we review United States and foreign
                         efforts to develop high-speed computer networks.  In
                         response to your requests, this report provides
                         information on United States,  European, and Japanese
                         efforts to develop high-speed computer networks.
                         Because high-speed computer networks used for research
                         and education are of primary interest in the United
                         States, the report specifically focuses on these types
                         of applications.
 
                         In conducting our review, we identified high-speed
                         networks, or in cases where none existed, lower-speed
                         networks that were considered to be important for
                         research and education.  We defined high-speed
                         networks as those capable of transmitting data at, or
                         greater than, T1 speeds of 1.544 megabits per second,
                         or E1 speeds of 2.048 megabits per second.#1  European
                         and Japanese networks were identified with the
                         assistance of experts familiar with their use of
                         computer and communications technology.#2  Detailed
                         descriptions of the United States, European, and
                         Japanese networking initiatives we observed are
                         contained in appendixes I, II, and III, respectively.
                         Appendix IV provides additional information on the
                         objectives, scope, and methodology of our review, and
                         appendixes V and VI identify the government entities
                         and other organizations that we contacted in Europe
                         and Japan.
 
  #####################________________________________________________________
  RESULTS IN BRIEF       Currently, the United States leads Europe and Japan in
                         the development of high-speed computer networks for
                         research and education.  Efforts to increase data
                         transmission speeds on a major portion of the United
                         States' Internet to 1.544 megabits per second (T1) and
                         45 megabits per second (T3), and plans to develop a
                         National Research and Education Network (NREN)
                         operating at gigabit speeds,#3 exceed most plans and
                         initiatives occurring in Europe and Japan at this
                         time.  Although some questions concerning the
                         development and operation of NREN must still be
 
                         ______________________________________________________
                              1  T1 is the term commonly used for the high-
                         speed digital standard in the United States and other
                         countries such as Japan and Korea.  Europe has
                         standardized on E1, which differs from T1 in speed,
                         signalling methods, and number of voice circuits
                         supported.
 
                              2  We limited our review to five European
                         countries--France, Germany, Italy, the Netherlands,
                         and the United Kingdom.
 
                              3  A gigabit equals one billion bits.
 
                         Page 3             GAO/IMTEC-91-69 High-Speed Networks

  ______________________________________________________________________________
                         B-245190
 
  ______________________________________________________________________________
                         answered, federal and academic sponsors of this
                         networking initiative are nonetheless moving
                         aggressively on this effort.
 
                         Although their networks are generally less developed
                         than those in the United States, Europe and Japan
                         clearly recognize the importance of high-speed
                         networks, and have plans and projects under way to
                         enhance the speed and capability of these networks.
                         Some European participants, in particular, believe the
                         United States' proposed NREN represents the kind of
                         network that is needed in Europe.  Presently, however,
                         Europe and Japan face a number of financial,
                         organizational, and other issues, which if not
                         addressed, could prevent the development or expansion
                         of their network infrastructures.  European and
                         Japanese officials told us they are working to resolve
                         these issues.  If they are successful in these
                         efforts, Europe and Japan may be able to strengthen
                         their positions in advancing research and education
                         through the use of high-speed computer networks.
 
  #####################________________________________________________________
  BACKGROUND             Computer networks enable both local and long distance
                         communication between computers, often over public
                         telephone lines, but also via dedicated switching and
                         transmission systems.  Computer networks transmit data
                         at various speeds to meet the needs of many different
                         user communities throughout the world.  Traditionally,
                         computer networks transmitted data at relatively low
                         speeds measured primarily in kilobits per second.  The
                         early 1980s, however, saw a growing demand for
                         increasingly higher-speed computer networks.
                         Currently, regional and wide-area national networks
                         operate at T1 speeds of 1.544 megabits per second in
                         the United States or E1 speeds of 2.048 megabits per
                         second in some European countries.  Local-area
                         networks transmitting data at speeds of between 10
                         megabits per second and 100 megabits per second also
                         exist.  These higher-speed networks have fueled the
                         market for a variety of applications, including
                         electronic mail, distributed data base access, large
                         file transfer, and graphics transmission.
 
                         Although regional and wide-area networks transmitting
                         data at speeds of between 1 and 2 megabits per second
                         are generally considered sufficient for many network
                         applications, sophisticated advances in computer and
                         communications technologies and increased volumes and
                         complexity of data traffic have contributed to a
                         growing demand for higher-capacity networks that are
                         capable of transmitting data at T3 speeds of 45
                         megabits per second, and up to a gigabit per second.
                         One sector of society expressing a need for the
                         higher-speed networks is the research and education
 
                         Page 4             GAO/IMTEC-91-69 High-Speed Networks

  ______________________________________________________________________________
                         B-245190
 
  ______________________________________________________________________________
                         community.  Scholars, researchers, executives, and
                         politicians in both the United States and overseas
                         recognize the importance of networking to access
                         unique experimental data, share results and
                         publications, and run models on remote supercomputers.
 
  ###################__________________________________________________________
  NETWORKING IN THE      The United States research and education communities
  UNITED STATES          are served primarily by the Internet, a loosely
                         organized system of interconnected, unclassified
                         computer networks linking over 500,000 computers
                         nationwide and overseas.  The United States' portion
                         of the Internet includes government-funded national
                         backbone networks and publicly and privately funded
                         regional networks operating at 1.544 megabits per
                         second (T1), as well as private local-area networks
                         transmitting data at speeds of 10 megabits per second
                         to 100 megabits per second.  One of the major backbone
                         networks comprising the United States' portion of the
                         Internet is the National Science Foundation Network
                         (NSFNet).#4  NSFNet links more than 3,000 networks at
                         university and college campuses, business and
                         industrial research laboratories, and governmental
                         research centers throughout the world.
 
                         Currently, the United States' portion of the Internet
                         is experiencing rapid growth in the number of networks
                         and host computers connected to it, and is unable to
                         satisfy all requirements of the research and education
                         community.  Traffic on NSFNet, alone, has increased by
                         more than 25 times in the last 2 years.  Approximately
                         3 million researchers worldwide actively use the
                         academic networks connected to the Internet.  In
                         addition, supercomputers and other sophisticated
                         applications used by some organizations require
                         higher speeds than are currently available on the
                         existing networks.
 
                         To enhance network services for the research and
                         education community, federal sponsors and academic
                         participants plan to transform the United States'
                         portion of the Internet into a higher-speed network
                         with nationwide coverage.  Toward this goal, the
                         National Science Foundation (NSF) has upgraded most
                         telecommunications links on the NSFNet backbone to
                         transmit data at a speed of 1.544 megabits per second,
                         and is further increasing data transmission speeds to
                         45 megabits per second for some agencies.  On a
 
                         ______________________________________________________
                              4  Other federal agencies operating networks on
                         the Internet include the Defense Advanced Research
                         Projects Agency, the Department of Energy, the
                         Department of Health and Human Services, and the
                         National Aeronautics and Space Administration.
 
                         Page 5             GAO/IMTEC-91-69 High-Speed Networks

  ______________________________________________________________________________
                         B-245190
 
  ______________________________________________________________________________
                         broader scale, the Congress is considering
                         legislation and plans for developing NREN operating at
                         gigabit speeds.  NREN is expected to emerge from and
                         expand existing capabilities of the United States'
                         portion of the Internet.  As envisioned, this network
                         ultimately will be capable of transmitting end-to-end
                         at rates of between 1 and 3 billion bits of data per
                         second--approximately 50,000 typed pages per second--
                         and will connect researchers in industry and academia
                         to supercomputers and other information resources
                         around the country.
 
                         Plans for creating NREN are being led at the federal
                         level by the White House Office of Science and
                         Technology Policy and the Federal Networking Council,
                         a collaboration of various agencies, including NSF,
                         the Defense Advanced Research Projects Agency (DARPA),
                         the Department of Energy, the Department of Health and
                         Human Services, and the National Aeronautics and Space
                         Administration.  The President's fiscal year 1992
                         budget request seeks $92 million for work related to
                         developing NREN.  In addition, the Corporation for
                         National Research Initiatives, a nonprofit
                         organization created in 1986, has received a 3-year
                         award of approximately $15.8 million from NSF and
                         DARPA to lead research to determine the technology and
                         possible structure of a gigabit network and identify
                         possible end-user requirements for such a network.  As
                         NREN's infrastructure takes shape, however, its
                         sponsors are being tasked to answer questions
                         concerning how the network should be managed, funded,
                         and secured.  One central question, for example, is
                         whether management of NREN should be decentralized
                         among network researchers, users, and sponsors, or
                         whether one organization should assume a dominant role
                         in its management.
 
  #####################________________________________________________________
  EUROPEAN RESEARCH      European research and education communities are
  AND EDUCATION          supported by an infrastructure of national and pan-
  NETWORKS               European networks.  Generally, the European networks
                         are slower than networks existing in the United
                         States.  Many of the national networks, such as the
                         ones we reviewed in Germany, Italy, the Netherlands,
                         and the United Kingdom, were created in the mid to
                         late 1980s through government initiatives to provide
                         scientific and technical research capabilities within
                         individual countries.  These networks connect
                         universities and research institutions at data
                         transmission speeds ranging from 64 kilobits per
                         second to 2 megabits per second.  Overall, the
                         national networks provide good levels of connectivity
                         and service within the countries they serve.
 
 
 
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  ______________________________________________________________________________
                         B-245190
 
  _____________________________________________________________________________
                         The pan-European networks, which enable cross-border
                         communications between countries, provide slower and
                         less extensive service than the national networks.
                         Most of the existing pan-European networks, such as
                         the European Academic Research Network and the High
                         Energy Physics Network, are designed to meet the needs
                         of specific user groups and do not provide a general-
                         purpose backbone infrastructure to connect all of the
                         national networks.  The pan-European networks
                         generally operate at relatively low speeds of 4.8 to
                         64 kilobits per second.
 
                         The Commission of the European Communities,#5 national
                         network operators, and various associations of
                         European networks and users believe that more capable,
                         higher-speed research and education networks are
                         needed in Europe.  Moreover, some of these
                         participants view the United States' proposed NREN as
                         an example of what is needed.  In response to
                         increasing needs, national network operators in the
                         countries we observed either have already begun
                         upgrading existing networks or plan to develop high-
                         speed networks over the next few years.  In addition,
                         European network organizations and the Commission of
                         the European Communities told us that progress is
                         being made toward establishing a pan-European
                         backbone network linking the national networks.  Some
                         officials noted that higher speeds could be available
                         on a pan-European network by the mid-1990s.
 
                         European officials told us that several issues,
                         unless resolved, may slow or prevent progress on
                         planned enhancements to the national research and
                         education networks and implementation of a high-
                         speed, pan-European backbone network.  According to
                         these officials, although much of the technology
                         needed to implement a pan-European network is
                         available, issues concerning how to organize and fund
                         the network still need to be addressed.  Some
                         officials reported that Europe currently lacks a
                         cohesive central organizational structure and a
                         supportive regulatory environment to guide the pan-
                         European initiatives.  In the absence of central
                         leadership, cross-border telecommunications services
                         are difficult and expensive to obtain.  Various
                         organizations, such as the European Engineering
                         Planning Group (EEPG) and the Reseaux Associes pour la
 
                         ______________________________________________________
                              5  The Commission of the European Communities
                         proposes and enforces policies and laws that apply to
                         the 12 countries making up the European Community--
                         Belgium, Denmark, France, Germany, Greece, Ireland,
                         Italy, Luxembourg, the Netherlands, Portugal, Spain,
                         and the United Kingdom.
 
                         Page 7             GAO/IMTEC-91-69 High-Speed Networks

  _____________________________________________________________________________
                         B-245190
 
  ______________________________________________________________________________
                         Recherche Europeenne (RARE), an association of
                         networking organizations and users in Europe, are
                         optimistic that these issues can be resolved and have
                         taken steps toward this goal.  RARE has sponsored
                         networking symposiums to highlight user needs for
                         high-speed networks and EEPG has proposed an
                         organization structure and approaches for funding and
                         implementing a pan-European backbone network.
 
  #####################________________________________________________________
  JAPANESE RESEARCH      In Japan, various government-funded and privately
  AND EDUCATION          operated computer networks support research and
  NETWORKS               education.  However, some Japanese officials believe
                         that fewer and less advanced networks exist in Japan
                         than in the United States.  The existing networks
                         connect Japan's major universities, and enable
                         communications between researchers at other
                         laboratories and research facilities.  Generally,
                         these networks do not have high-speed data
                         transmission capabilities.  Among the networks that we
                         observed, only one, the Science Information Network
                         operated by the National Center for Science
                         Information System, provided a high-speed (T1)
                         backbone.  Most of Japan's other research and
                         education networks operate at relatively low speeds of
                         192 kilobits per second or less.
 
                         Japanese officials considered high-speed networks to
                         be important for research and education and told us
                         that government and privately sponsored initiatives
                         are being actively pursued to enhance Japan's computer
                         networking capabilities.  One of Japan's most
                         significant undertakings involves its recently
                         announced plans to invest approximately $250 billion
                         to equip businesses and homes with a broadband
                         Integrated Services Digital Network (ISDN) by the year
                         2015.  Under this plan, Nippon Telegraph and Telephone
                         Corporation (NTT) will use fiber-optic cable to link
                         Japanese homes and businesses, enabling the
                         transmission of digitized voice, data, and video
                         traffic, and providing a standard way for computers
                         and other equipment to share information at high
                         speeds.  NTT envisions providing such advanced
                         services as 3-D video communications and automatic
                         translation communications.
 
                         Japan's success in developing a broadband ISDN and
                         other high-speed computer networks may depend on
                         factors such as its ability to obtain the necessary
                         funding for these efforts and to gain coordinated
                         support from the Japanese government ministries.  Some
                         network operators and representatives of the Japanese
                         ministries believe that increasing the number and
                         capability of computer networks will, in part, depend
                         on how well the networks compete with other programs
 
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  ______________________________________________________________________________
                         B-245190
 
  ______________________________________________________________________________
                         for government funding.  In addition, successful
                         implementation of the broadband ISDN may require more
                         accurate definition of customer needs for this
                         service.
 
  _____________________________________________________________________________
                         The information in this report is based primarily on
                         testimonial evidence.  Although we did not
                         independently verify its validity and accuracy, we did
                         discuss the information with various government
                         officials and representatives of European and Japanese
                         networking organizations, and have included their
                         comments where appropriate.  Our work was performed
                         from October 1990 to June 1991.
 
                         As agreed with your office, unless you publicly
                         announce the contents of this report earlier, we plan
                         no further distribution until 30 days from the date of
                         this letter.  At that time, we will send copies to
                         interested congressional committees and others upon
                         request.  Should you have any questions concerning
                         this report, please contact me at (202) 275-3195.  The
                         major contributors to this report are listed in
                         appendix VII.
 
 
 
 
                         Jack L. Brock, Jr.
                         Director
                         Government Information
                           and Financial Management
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                         Page 9             GAO/IMTEC-91-69 High-Speed Networks

  _____________________________________________________________________________
  CONTENTS
 
  #####################________________________________________________________
  LETTER                                                                      1
 
  #####################________________________________________________________
  APPENDIX I                                                                 13
  UNITED STATES PLANS    Description of the Internet Infrastructure          13
  FOR BUILDING THE       Creation of a National Research and Education       15
  NATIONAL RESEARCH AND      Network
  EDUCATION NETWORK      Issues Need to Be Addressed to Implement NREN       16
 
  #####################________________________________________________________
  APPENDIX II                                                                18
  HIGH-SPEED COMPUTER    National Networks Provide Connectivity and Service  18
  NETWORKS SUPPORTING        Within Their Respective Countries
  RESEARCH AND           Pan-European Networks Meet the Needs of Specific    24
  EDUCATION IN EUROPE        Groups
                         Need for an Improved High-Speed Pan-European        26
                             Research and Education Backbone Network
                         Organization and Funding Issues Must Be Resolved    30
                             to Implement a Pan-European Backbone Network
 
  #####################________________________________________________________
  APPENDIX III                                                               32
  HIGH-SPEED COMPUTER    Japanese Research and Education Networks Provide    32
  NETWORKS SUPPORTING        Relatively Low-Speed Capability
  RESEARCH AND           Plans for Future Networks in Japan                  36
  EDUCATION IN JAPAN     Issues Affecting Japan's Future Development of      39
                             Computer Networks
 
  #####################________________________________________________________
  APPENDIX IV                                                                40
  OBJECTIVES, SCOPE,
  AND METHODOLOGY
 
  #####################________________________________________________________
  APPENDIX V                                                                 42
  ORGANIZATIONS AND      European Countries                                  42
  ENTITIES CONTACTED     Pan-European Representatives                        43
  REGARDING EUROPEAN
  NETWORKS
 
  #####################________________________________________________________
  APPENDIX VI                                                                44
  ORGANIZATIONS AND
  ENTITIES CONTACTED
  REGARDING JAPANESE
  NETWORKS
 
  #####################________________________________________________________
  APPENDIX VII                                                               45
  MAJOR CONTRIBUTORS
  TO THIS REPORT
 
 
 
 
 
 
                         Page 10            GAO/IMTEC-91-69 High-Speed Networks
  _____________________________________________________________________________
                         Contents
 
  _____________________________________________________________________________
 
                         ______________________________________________________
                         Abbreviations
 
                         ATM            asynchronous transfer mode
                         BITnet         Because It's Time Network
                         CERN           Centre Europeenne pour la Recherche
                                           Nucl aire
                         COSINE         Cooperation of Open Systems
                                           Interconnection Networking in Europe
                         DARPA          Defense Advanced Research Projects
                                           Agency
                         DECNET         Digital Equipment Corporation Network
                         DFN            Deutsche Forschungsnetz
                         EARN           European Academic Research Network
                         EASInet        European Academic Supercomputer
                                           Initiative Network
                         ECU            European currency unit
                         EEPG           European Engineering Planning Group
                         GAO            General Accounting Office
                         GARR           Group for the Harmonization of Research
                                           Networks
                         HEPnet         High-Energy Physics Network
                         IBC            integrated broadband communication
                         IBM            International Business Machines
                                           Corporation
                         IMTEC          Information Management and Technology
                                           Division
                         ISDN           Integrated Services Digital Network
                         IXI            International X.25 Infrastructure
                         JANET          Joint Academic Network
                         JICST          Japan Information Center of Science and
                                           Technology
                         JUNET          Japanese University Network
                         KEK            National Laboratory for High-Energy
                                           Physics
                         MITI           Ministry of International Trade and
                                           Industry
                         NACSIS         National Center for Science Information
                                           System
                         NREN           National Research and Education Network
                         NSF            National Science Foundation
                         NSFNet         National Science Foundation Network
                         NTT            Nippon Telegraph and Telephone
                                           Corporation
                         OSI            Open Systems Interconnection
                         PACCOM         Pacific Area Computer Communication
                         PTM            packet transfer mode
                         PTT            Postal, Telegraph, and Telephone
                                           Administration
                         RACE           Research and Development in Advanced
                                           Communications Technologies in
                                           Europe
                         RARE           Res aux Associes pour la Recherche
                                           Europeenne
 
 
                         Page 11            GAO/IMTEC-91-69 High-Speed Networks

  _____________________________________________________________________________
                         Contents
 
  _____________________________________________________________________________
 
                         SURF           Samenwerkende Universitaire
                                           Rekenfaciliteiten
                         TCP/IP         transmission control protocol/internet
                                           protocol
                         WIDE           Widely Integrated Distributed
                                           Environment
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                         Page 12            GAO/IMTEC-91-69 High-Speed Networks

  Appendix I
  _____________________________________________________________________________
  UNITED STATES PLANS FOR BUILDING THE
  NATIONAL RESEARCH AND EDUCATION NETWORK
 
  ____________________________________________________________________________
                         To better support research and education in the United
                         States, federal and academic sponsors have proposed
                         developing the National Research and Education Network
                         (NREN).  As planned, NREN will provide a high-
                         capacity, high-quality network infrastructure to
                         ultimately transport digitized information at several
                         billion bits per second between high-performance
                         computational resources, such as supercomputers, and
                         individual workstations.  NREN will build on the
                         United States' portion of the Internet, the existing
                         system of loosely connected, unclassified networks
                         that links computers nationwide and overseas.
                         Currently, the number of networks and computers
                         connected to the Internet is increasing rapidly, as
                         are demands for greater network capacity to support
                         researchers in conducting complex analyses combining
                         local and remote resources.  NREN supporters envision
                         creating a network that will meet increased demands
                         for a higher-speed computer network offering
                         nationwide coverage.
 
  #####################________________________________________________________
  DESCRIPTION OF         The Internet consists of over 5,000 interconnected
  THE INTERNET           networks that link approximately 500,000 computers
  INFRASTRUCTURE         worldwide.  The United States' portion of the Internet
                         consists of government-funded national backbone
                         networks, publicly and privately supported regional
                         networks, and local-area campus networks.  Some of the
                         regional and backbone networks comprising the United
                         States' portion of the Internet transmit data at a
                         speed of 1.544 megabits per second (T1).  Private
                         local-area networks on the Internet operate at data
                         transmission speeds of 10 to 100 megabits per second.
                         One of the major backbone networks on the United
                         States' portion of the Internet is the National
                         Science Foundation network (NSFNet).  NSFNet connects
                         more than 3,000 networks at university and college
                         campuses, businesses, industrial research
                         laboratories, and governmental research centers
                         worldwide.
 
                         Management of the Internet is decentralized.  Each of
                         the networks within the Internet is operated
                         independently and has its own operations center that
                         monitors and maintains its portion of the Internet.
                         Funding for the United States' portion of the Internet
                         comes from the five federal agencies operating
 
 
 
 
 
 
 
 
                         Page 13            GAO/IMTEC-91-69 High-Speed Networks

  _____________________________________________________________________________
                         Appendix I
                         United States Plans for Building the National
                         Research and Education Network
 
  _____________________________________________________________________________
                         national research networks and from universities,
                         states, and private companies that operate and use the
                         local and regional networks.#6  Participating
                         institutions generally pay fixed annual fees to
                         connect to the regional networks of between $10,000 to
                         $50,000 per year, depending on the size of the
                         institution and the carrying capacity of the
                         telecommunications channel connecting it to the
                         network.
 
                         Researchers use the Internet for a variety of
                         applications.  For example, electronic mail provides a
                         way of sending person-to-person messages almost
                         instantaneously, enabling researchers separated by
                         thousands of miles to collaborate.  Other uses of the
                         Internet include file transfer, access to software and
                         document libraries, and remote access to computer data
                         banks and supercomputers.  Access to supercomputers,
                         in particular, has had a dramatic impact on scientific
                         endeavors.  Experiments that took years to complete on
                         an ordinary computer can be performed in days or weeks
                         on a supercomputer.
 
  _____________________________________________________________________________
  Limitations of         Presently, the number of users of the Internet is
  the Existing           growing, as is the need for more extensive high-speed
  Infrastructure         data networking capacity.  Approximately 3 million
                         researchers worldwide actively use the academic
                         networks connected to the Internet.  Data traffic on
                         the NSFnet backbone alone has increased by more than
                         25 times in the last 2 years.  As a result of its
                         continual growth, the United States' portion of the
                         Internet is unable to satisfy all the requirements of
                         the research and education community.  In addition,
                         supercomputers and other sophisticated applications
                         used by some organizations require higher speeds than
                         are currently available on the existing networks.
 
 
 
 
 
 
 
 
 
                         ______________________________________________________
                              6    The five federal agencies operating research
                         networks on the Internet are the Defense Advanced
                         Research Projects Agency, the National Science
                         Foundation, the Department of Energy, the National
                         Aeronautics and Space Administration, and the
                         Department of Health and Human Services.
 
                         Page 14            GAO/IMTEC-91-69 High-Speed Networks

  _____________________________________________________________________________
                         Appendix I
                         United States Plans for Building the National
                         Research and Education Network
 
  _____________________________________________________________________________
 
  #####################________________________________________________________
  CREATION OF A          The President's fiscal year 1992 budget requests $92
  NATIONAL RESEARCH      million for development of NREN.  In addition, the
  AND EDUCATION          Congress is considering legislation supporting its
  NETWORK                development.  The proposed High-Performance Computing
                         and Communications Act of 1991, for example, would
                         authorize the creation of a multi-gigabit-per-second
                         computer network linking government, researchers,
                         businesses, consumers, and schools in every state.
 
                         NREN is intended to dramatically expand and enhance
                         the capabilities of the United States' Internet.  As
                         envisioned, NREN ultimately will be capable of
                         transmitting end-to-end at rates of between 1 and 3
                         billion bits (gigabits) of data per second--the
                         equivalent of about 50,000 typed pages every second.
                         Such capacity is expected to greatly enhance the
                         ability of researchers to perform complex analyses
                         using remote resources.  For example, users will be
                         able to share libraries, data bases, supercomputers,
                         and other scientific technologies to perform
                         computational analyses and simulations that generate
                         very large, complex data, graphics, or video files.
 
                         Development of NREN is planned to occur in three
                         phases.  The first phase, begun in 1988, involved
                         upgrading all telecommunications links within the
                         NSFNet backbone to 1.544 megabits per second (T1).
                         This upgrade has been completed for most agencies.
                         The second phase, which is now under way, will provide
                         upgraded services for 200 to 300 research facilities,
                         using a shared backbone network with a carrying
                         capacity of 45 megabits per second (T3).  The third
                         phase, which will result in a gigabit-speed NREN
                         operating at roughly 50 times T3 speeds, is expected
                         to begin during the mid-1990s, if the necessary
                         technology and funding are available.
 
                         Plans for creating NREN are being overseen at the
                         federal level by the White House Office of Science and
                         Technology Policy and the Federal Networking Council,
                         a collaboration of NSF, DARPA, National Aeronautics
                         and Space Administration, the Department of Energy,
                         and the Department of Health and Human Services.  As
                         provided for in the Office of Science and Technology
                         Policy plan, NSF will serve as the lead agency for
                         coordinating the deployment of the operational NREN,
                         and DARPA will lead research and development on
                         advanced networking technology.
 
 
 
 
 
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  _____________________________________________________________________________
                         Appendix I
                         United States Plans for Building the National
                         Research and Education Network
 
  _____________________________________________________________________________
 
  _____________________________________________________________________________
  Research and           Various research efforts are being conducted to yield
  Development for a      insights into the design and development of gigabit
  Gigabit Network        network technology.  One major project is being led by
                         the Corporation for National Research Initiatives, a
                         nonprofit organization, which received a 3-year award
                         of approximately $15.8 million from NSF and DARPA to
                         lead the research on gigabit technology.  This
                         research, which involves collaborators from
                         universities, national laboratories, supercomputer
                         centers, and major industrial organizations, is
                         intended to advance the technology and understanding
                         of requirements for high-speed networking by (1)
                         developing architectural alternatives for
                         consideration in determining the possible structure of
                         a wide-area gigabit network, and (2) exploring
                         possible applications for such a network.  Presently,
                         gigabit testbed facilities are being developed, and
                         work on the gigabit network applications has begun.
 
                         The gigabit research project revolves around a set of
                         five testbeds, each with its own research objective
                         and distinct research staff.  For example, one testbed
                         is exploring switching technology to determine whether
                         packet transfer mode or asynchronous transfer mode#7
                         is best suited for NREN.  Other testbeds are studying
                         different applications, such as weather modeling,
                         detection of earthquakes, and cancer research, to
                         assess whether they can be supported on NREN.  A mid-
                         course review of the progress of these testbeds is
                         scheduled for mid-September 1991.
 
  #####################________________________________________________________
  ISSUES NEED TO BE      As developers of NREN move to shape its
  ADDRESSED TO           infrastructure, they are being confronted with
  IMPLEMENT NREN         various policy issues concerning how the network
                         should be developed and organized.  These issues have
                         raised questions about the technology, security,
                         management, and funding of computer networks and
                         resources that will be linked to NREN.  As previously
                         discussed, developing NREN is expected to require
                         major departures from existing network technology to
                         handle networks operating at gigabit speeds.  Some
 
                         ______________________________________________________
                              7  Packet transfer mode (PTM) and asynchronous
                         transfer mode (ATM) are two switching approaches.  PTM
                         is based on variable-sized packets and is a method
                         being pursued within the data communications industry.
                         ATM uses small, fixed-size data packets, and is the
                         current proposal within the telephone carrier
                         standards community for the next generation of network
                         switching technology.
 
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                         Appendix I
                         United States Plans for Building the National
                         Research and Education Network
 
  _____________________________________________________________________________
                         experts have questioned whether existing computer
                         architectures, operating systems, and protocols are
                         able to respond to gigabit speeds.  It is expected
                         that in some cases, new computer interfaces, switches,
                         and data communication protocols will be required.
 
                         In addition, questions remain concerning how the
                         collection of networks comprising NREN should be
                         managed.  The collaboration among network researchers,
                         users, and sponsors that has guided the growth of
                         existing academic and research networks is considered
                         by some to be inadequate for managing NREN.
                         Currently, no single entity within the federal
                         establishment, higher education, or industry is
                         thought to be capable of ensuring the reliable and
                         timely introduction of improved networking services,
                         technology, and capacity.
 
                         Another issue concerns the privacy of information
                         carried over NREN.  Open access to NREN is an
                         essential element in creating an electronic community
                         of researchers with the broadest possible
                         participation by individuals and organizations in
                         government, education, and industry.  Maintaining an
                         open and easily accessible network that protects the
                         privacy and valuable resources of its users will
                         require a balance of legal and technological controls.
 
                         Realizing the benefits of NREN also will require major
                         financial investments over the next decade; however,
                         no decision on who will make these investments has yet
                         been reached.  Although the federal government has
                         thus far played a dominant role in financing research
                         networks, questions remain as to whether it can and
                         should be the sole provider for the development and
                         deployment of a gigabit NREN, or whether financing
                         should be a shared responsibility of federal research
                         sponsors, educational agencies and institutions, and
                         participating private sector organizations.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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  Appendix II
  _____________________________________________________________________________
  HIGH-SPEED COMPUTER NETWORKS SUPPORTING
  RESEARCH AND EDUCATION IN EUROPE
 
  _____________________________________________________________________________
                         European research and education is supported by an
                         infrastructure of national and pan-European networks.
                         Although the national networks generally provide good
                         levels of connectivity and service within individual
                         countries, the pan-European links, which enable
                         cross-border communications between countries, are
                         relatively slower and serve more limited numbers of
                         users.  Various European networking organizations,
                         national network operators, and the Commission of the
                         European Communities, which makes policies and laws
                         that apply to the European Community members,#8
                         believe that the network infrastructures in place do
                         not adequately support all research and education
                         needs, and are acting to increase the speed and
                         capability of the national networks and establish a
                         reliable pan-European network infrastructure.  While
                         most officials are optimistic that higher-speed
                         networking capabilities will emerge in Europe, they
                         recognize that various funding and management issues
                         must first be resolved.  All of the national network
                         operators told us that the high cost of
                         telecommunications services in Europe limits their
                         plans to upgrade networks.
 
  #####################________________________________________________________
  NATIONAL NETWORKS      In Germany, Italy, the Netherlands, and the United
  PROVIDE CONNECTIVITY   Kingdom, national networks connect universities and
  AND SERVICE WITHIN     research institutions at speeds ranging from 64
  THEIR RESPECTIVE       kilobits per second to 2 megabits per second.#9  Some
  COUNTRIES              of the networks are based on the X.25
                         telecommunications protocol supporting other protocols
                         at higher layers.  Other networks support, or will
                         soon support, multiple protocols, including the
 
 
 
 
 
 
 
 
 
 
                         ______________________________________________________
                              8  The European Community members are Belgium,
                         Denmark, France, Germany, Greece, Ireland, Italy,
                         Luxembourg, the Netherlands, Portugal, Spain, and the
                         United Kingdom.
 
                              9  Other European countries such as Sweden,
                         Denmark, Finland, and Norway also have computer
                         networks operating at these speeds; however, these
                         countries were not included in our review.
 
 
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                         Appendix II
                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         Internet Protocol.#10  All of these networks receive
                         financial support from their national governments.
 
  _____________________________________________________________________________
  Germany's National     The German national research and education network,
  Research Network       called the Deutsche Forschungsnetz (DFN), was
                         established in 1984.  This network is managed by the
                         DFN Association, which has more than 250
                         institutional members, including universities,
                         national research centers, and industrial companies.
                         The DFN Association contracts with the Deutsche
                         Bundespost, Germany's Postal, Telegraph, and
                         Telephone Administration (PTT), for the DFN network
                         and related services.  Currently, DFN links all of
                         Germany's universities and research centers using an
                         X.25 backbone service called WIN (Wissenschaftsnetz),
                         with access speeds of 64 kilobits per second.
                         Members pay a fixed fee, regardless of the extent of
                         usage, to use the network.
 
                         The DFN Association has an annual budget of about 30
                         million deutsche marks and is funded through federal
                         grants, membership fees, and service charges.#11
                         According to the director of this association,
                         expenditures are split between research and
                         development costs and the network's operating costs.
                         German Ministry of Research and Technology officials
                         told us their organization provides the association
                         with about 15 million deutsche marks per year to
                         support research in Open Systems Interconnection
                         technology and new system development.
 
                         The DFN Association plans to offer an upgraded speed
                         of 2 megabits per second on the DFN in the second half
                         of 1991.  However, the Director of the DFN Association
                         stated that because of the high cost, only 20 to 25
                         users have expressed interest in a higher speed
                         networking service; most users probably will continue
 
                         ______________________________________________________
                              10  X.25 is an International Standard protocol
                         that the European Postal, Telegraph, and Telephone,
                         Administrations have adopted for their public data
                         networks.  This protocol fits the International
                         Organization for Standardization's Open Systems
                         Interconnection (OSI) layering model.  The Internet
                         Protocol is a vendor-independent and widely available
                         Department of Defense standard protocol used for the
                         United States' Internet, but is not directly
                         compatible with the OSI protocol suite.
 
                              11   In June 1991, one dollar equaled about 1.78
                         deutsche marks.
 
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                         Appendix II
                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         to rely on the 64 kilobits per second speed presently
                         available.  The DFN Association is now monitoring the
                         development and testing of networks with speeds higher
                         than 2 megabits per second.  Information gathered from
                         this project will provide a basis for deciding whether
                         Germany should implement a research and education
                         network operating at speeds greater than 2 megabits
                         per second.  The Director of DFN expects that such a
                         large-scale national project may be possible in about
                         2 years.
 
  _____________________________________________________________________________
  Italy's National       The Italian national network was created in 1989 to
  Research Network       link several scientific research networks.  The
                         Ministry of Universities, Research, and Technology
                         created the Gruppo Armonizzazione Reti di Ricerca
                         (GARR), or Group for the Harmonization of Research
                         Networks, to manage and supervise the connections of
                         the various scientific research networks.  A senior
                         adviser to the Minister for Universities, Research,
                         and Technology explained that, in 1988, the Italian
                         parliament passed a one-time appropriation of 50
                         billion lire to establish the GARR network and
                         purchase two supercomputers.#12  The GARR network
                         subsequently brought together three other Italian
                         research and education networks and three computer
                         centers.  To facilitate more effective resource
                         sharing and increase service, the three networks
                         agreed to consolidate their funds and eliminate
                         duplicative administrative costs.
 
                         The GARR network currently links more than 280
                         research laboratories throughout Italy, including
                         public and university laboratories and industrial
                         research establishments.  A technical executive
                         committee is responsible for managing the network,
                         which operates on lines leased from the Italian PTT.
                         The network provides access speeds of 64 kilobits per
                         second and 2 megabits per second.  The network uses
                         time-division multiplexing#13 to  support four
 
 
 
 
 
                         ______________________________________________________
                              12  In June 1991, one dollar equaled about 1,317
                         Italian lire.
 
                              13  Time-division multiplexing is a digital
                         transmission technique that allows multiple channels
                         to share a single line.
 
 
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                         Appendix II
                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         protocols--Internet Protocol, X.25, DECNET, and
                         Systems Network Architecture.#14
 
                         According to a senior adviser to the Minister for
                         Universities, Research, and Technology, one-time
                         funding for the GARR network will be exhausted in late
                         1991, and future funding arrangements needed to
                         continue network operations are currently being
                         considered.  Italy plans to modify the GARR network in
                         1991, and again in 1992, to meet the growing needs of
                         its users by adding more nodes and more links to avoid
                         bottlenecks and to provide alternate routing
                         possibilities.  The Executive Manager of the GARR
                         network stated that the network's users currently have
                         a need for 140 megabits per second lines.  However,
                         there are no plans to provide network transmission
                         speeds greater than 2 megabits per second, primarily
                         because of the high cost of telecommunications
                         services.  After 1993, however, GARR network officials
                         plan to take advantage of expected cost reductions
                         resulting from the prospective liberalization of the
                         European telecommunications industry to increase the
                         network's speed.
 
  _____________________________________________________________________________
  The Netherlands'       The Dutch national research and higher education
  National Research      network, called SURFnet, was proposed as part of a
  Network                1984 government initiative that established the Surf
                         Foundation to better coordinate Dutch networking and
                         stimulate information technology.#15  The network was
                         not actually implemented until 1989, when SURFnet
                         B.V., a nonprofit limited liability company, was
                         formed to develop and operate the network.  SURFnet
                         B.V. has two shareholders--the SURF Foundation and the
                         Dutch PTT.
 
                         SURFnet links a total of 85 organizations, including
                         all Dutch universities, most government and private
                         research institutions, and the Dutch national
                         supercomputer site.  The network's main
                         infrastructure consists of an X.25 backbone based on
 
                         ______________________________________________________
                              14  DECNET is a set of proprietary protocols of
                         the Digital Equipment Corporation.  Systems Network
                         Architecture is a set of proprietary protocols of
                         International Business Machines (IBM).
 
                              15  The "SURF" acronym comes from the original
                         name, "Samenwerkende Universitaire Rekenfaciliteiten,"
                         or Cooperating University Computing Facilities.  SURF
                         is a Dutch organization roughly equivalent to a
                         foundation in the United States.
 
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                         Appendix II
                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         64 kilobits per second leased lines and equipment.  To
                         meet the needs of its users, SURFnet B.V. also
                         supports the use of the Internet Protocol over the
                         X.25 backbone.
 
                         SURFnet's organization is somewhat different than that
                         of the other national research networks that we
                         reviewed in that its operations are managed by a
                         commercial entity separate from its policy-making
                         body.  In other words, the primary operator of the
                         network is SURFnet B.V.  However, the SURF Foundation,
                         comprised primarily of the network's users, has
                         overall policy-making authority and interacts with the
                         Dutch Ministry of Education and Science.
 
                         SURFnet is operated on a not-for-profit basis.  Its
                         annual operating costs of about 4 million European
                         Currency Units (ECUs)#16 are covered by service and
                         transport fees paid by network users, the SURF
                         Foundation, and the Ministry of Economic Affairs.
                         SURFnet has an annual budget of about 1 million ECUs
                         for research and development, paid by the Ministry of
                         Economic Affairs.
 
                         SURFnet has undertaken a pilot project, called SURFnet
                         3, which uses 2 megabits per second leased lines to
                         link the major Dutch universities, the national
                         aerospace laboratory, and other academic computing
                         services to the national supercomputer center.
                         SURFnet's managing director stated that 2 megabits per
                         second links were chosen as the upper limit for the
                         pilot project solely on financial grounds, and that
                         higher speeds would have been used had they been
                         affordable.  After 1992, the SURFnet 3 pilot is
                         expected to evolve into an operational network
                         offering both X.25 and Internet Protocols.
 
  _____________________________________________________________________________
  The United Kingdom's   The United Kingdom's national research network, called
  National Research      the Joint Academic Network (JANET), was launched in
  Network                1984 as a government and industry initiative to more
                         efficiently use computer resources.  JANET
                         consolidated diverse regional and national networks,
                         operating at approximately 48 kilobits per second,
                         among universities and research institutions.  JANET
                         connects public institutions, including universities,
                         government research labs, and private research
                         facilities.  The network is managed by the Joint
 
                         ______________________________________________________
                              16  The ECU is a composite currency unit based on
                         the currencies of 9 of the 12 European Community
                         members.  In June 1991, an ECU equaled approximately
                         $1.16.
 
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                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         Network Team, a centralized group that operates under
                         the Department of Education and Science's Computer
                         Board for Universities and Research.
 
                         Since 1989, the national network backbone has been
                         based on the X.25 protocol running over 2 megabits per
                         second trunk circuits leased from British public
                         service companies.  The Computer Board has promulgated
                         a policy for the network to use international
                         standard protocols.  Therefore, the Joint Network Team
                         requires network users to use prescribed protocols to
                         enhance the network's interworking capabilities.
 
                         JANET is funded by a number of governmental
                         organizations under the Department of Education and
                         Science.  The 1991 budget for JANET's recurring
                         expenses is 3.9 million pounds sterling.#17  An
                         additional 4.1 million pounds sterling are budgeted
                         for capital expenditures over a 2-year period during
                         1991 and 1992.
 
                         In 1989, the United Kingdom began a major performance
                         enhancement to upgrade JANET's access speed.  This
                         enhancement involves implementing 2 megabits per
                         second site access lines supported by a trunk network
                         composed of multiple 2 megabits per second lines.
                         The long-term strategy is to create a SuperJANET
                         broadband network employing optical fibers to
                         complement the introduction of fiber-based local area
                         networks.  This network upgrade is scheduled to be
                         completed by 1994.
 
  _____________________________________________________________________________
  France Planning to     Currently, France does not have an integrated national
  Implement a            research and education network; rather, various
  National Network       general-purpose and specific disciplinary networks
                         have been developed to support the needs of French
                         government agencies and other users.  The French
                         government does plan, however, to begin implementing a
                         national research and education network by the end of
                         1991.  Toward this goal, three French ministries#18
                         have established a partnership to build a national
                         high-speed network that will link the entire French
                         research and education community, and be available to
 
                         ______________________________________________________
                              17  In June 1991, a pound sterling equaled about
                         $1.66.
 
                              18  The three French ministries involved in this
                         effort are the Ministry of Posts, Telecommunications,
                         and Space; the Ministry of Research and Technology;
                         and the Ministry of National Education.
 
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                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         industrial research and development centers.  The
                         intent in establishing this network is to pull
                         together the fragmented French networks in a more
                         cost-effective manner.
 
                         French officials told us that decisions regarding the
                         network have not been finalized, although implementing
                         a network that can be upgraded to speeds of hundreds
                         of megabits per second will be a primary
                         consideration.  The officials estimated that the
                         network will offer trunk line transmission speeds
                         beginning at 2 megabits per second and, soon
                         thereafter, increasing to 34 megabits per second.  In
                         addition, the new network will accommodate multiple
                         protocols to meet various users' needs.  Funding for
                         this network will be provided by the three ministries,
                         regional authorities, and network users.
 
  #####################________________________________________________________
  PAN-EUROPEAN NETWORKS  Cross-border communications between European countries
  MEET THE NEEDS OF      are handled by various pan-European networks.
  SPECIFIC GROUPS        Generally, these networks are geared to the needs of
                         specific groups and operate at lower speeds of 4.8 to
                         64 kilobits per second.  None of these networks serves
                         as a general-purpose backbone to interconnect the
                         existing national networks.
 
  _____________________________________________________________________________
  High Energy Physics    The High Energy Physics Network (HEPnet) is the
  Network                largest and fastest pan-European network currently
                         available.  HEPnet connects European high-energy
                         physics laboratories through the Centre Europeenne
                         pour la Recherche Nucl aire (CERN) in Geneva.  HEPnet
                         is managed by the HEPnet Technical Committee, which is
                         composed of representatives from each participating
                         country.
 
                         Although HEPnet's main focus is on meeting the needs
                         of the high-energy physics community, some of its
                         lines and funding are shared with other pan-European
                         networks in order to lease higher-speed trunk lines.
                         HEPnet's line speeds range from 4.8 kilobits per
                         second to 2 megabits per second, with most of the
                         lines operating below 512 kilobits per second.  HEPnet
                         supports the Internet Protocol, IBM's Systems Network
                         Architecture, X.25, and DECNET protocols by using
                         time-division multiplexers.
 
  _____________________________________________________________________________
  European Academic      The European Academic Research Network (EARN) is a
  Research Network       cooperative network started in 1984 with funding from
                         IBM.  EARN is the European portion of the worldwide
                         BITnet (Because It's Time Network), which covers North
 
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                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         America, Europe, and parts of Africa, Asia, the Middle
                         East, and South America.  EARN, along with BITnet,
                         connects over 2,000 host computers worldwide, offering
                         mail, mailing list, and file transfer services.  Each
                         European country participating as an EARN member
                         provides a line to one other European country and also
                         pays dues to cover network management costs and the
                         trans-Atlantic link to the United States.  Most EARN
                         links operate at speeds of 9.6 kilobits per second or
                         less.  EARN is based on the IBM Network Job Entry
                         protocols.
 
  _____________________________________________________________________________
  European UNIX          The European UNIX Network is a cooperative research
  Network                and development network for users of the Unix
                         operating system developed by AT&T Bell Laboratories.
                         This user-funded network extends throughout western
                         Europe and is used by both academia and industry.  The
                         network operates primarily on 64 kilobits per second
                         leased lines using the Internet Protocol.  According
                         to a network official, UNIX line speeds may be
                         upgraded several times beyond 64 kilobits per second
                         in the near future, and then to 2 megabits per second
                         by 1994 if funding is available.
 
  _____________________________________________________________________________
  International X.25     The International X.25 Infrastructure (IXI) network is
  Infrastructure         a 64 kilobits per second, pan-European backbone pilot
  Network                network, which is being developed as part of the
                         COSINE (Cooperation of Open Systems Interconnection
                         Networking in Europe) project.#19  IXI links national
                         research networks, public networks, and international
                         networks, such as HEPnet and EARN.  IXI service is
                         implemented by the Netherlands' PTT, under contract
                         with the Commission of the European Communities, and
                         is currently paid for entirely by the COSINE project.
                         However, after the COSINE project is completed in
                         1992, user charges will be phased in, resulting in a
                         self-supporting network.  The IXI manager hopes to
                         upgrade line speed to 2 megabits per second in late
                         1991, when the network's pilot phase is projected to
                         end and production service begins.  The COSINE Policy
 
                         ______________________________________________________
                              19  COSINE is a project of EUREKA, an advanced
                         research program of the European Economic Community
                         and European Free Trade Association countries to raise
                         the productivity and competitiveness of Europe in the
                         fields of advanced technology.  COSINE's main
                         objective is to create a common Open Systems
                         Interconnection networking infrastructure to serve the
                         European academic, governmental, and industrial
                         research communities.
 
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                         Appendix II
                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         Group estimates that 23 to 36 million ECUs will be
                         budgeted for the 3-year COSINE implementation phase,
                         which extends from 1990 through 1992.  The IXI budget
                         is estimated to be 10 to 15 million ECUs.
 
  _____________________________________________________________________________
  European Academic      The European Academic Supercomputer Initiative Network
  Supercomputer          (EASInet) is funded by IBM and links 18 sites
  Initiative Network     operating IBM supercomputers that were purchased as a
                         part of this initiative.  EASInet also shares many of
                         its lines with other pan-European networks to support
                         the development of an improved European networking
                         infrastructure.  EASInet links operate at 64 kilobits
                         per second or higher when the lines are shared with
                         other networks such as HEPnet.  The network supports
                         multiple protocols, including X.25, Internet Protocol,
                         and Systems Network Architecture.  IBM is committed to
                         funding the network through 1992.
 
 
  #####################________________________________________________________
  NEED FOR AN IMPROVED   Currently, the major participants in European research
  HIGH-SPEED PAN-        and education networking, as well as officials of
  EUROPEAN RESEARCH      national governments and the Commission of the
  AND EDUCATION          European Communities, agree on the need for a pan-
  BACKBONE NETWORK       European research and education backbone network.
                         Some of the participants believe that a high-speed
                         network similar to the United States' proposed
                         National Research and Education Network should be
                         developed in Europe.  Network operators and users and
                         officials of the Reseaux Associes pour la Recherche
                         Europeenne (RARE), an association of networking
                         organizations and users in Europe, told us that at a
                         minimum, a 2 megabits per second pan-European network
                         capable of supporting multiple protocols is needed as
                         soon as possible.#20  They stated that such a network
                         would likely be used to capacity by supporting only
                         current applications, and that higher speeds will be
                         needed for newer applications, such as interactive use
                         of supercomputer-based modeling and visualization
                         systems or multimedia conferencing.  Most of these
                         officials also believe that any pan-European network
 
                         ______________________________________________________
                              20  RARE, which aims to cooperatively develop a
                         harmonized communications infrastructure, consists of
                         over 24 national network members and 8 international
                         members.  In addition, the Commission of the European
                         Communities participates actively in RARE's work in
                         view of the Commission's special responsibilities
                         regarding information technology and the research
                         infrastructure in Europe.
 
 
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                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         should quickly progress to speeds of 34 megabits per
                         second.#21
 
                         In discussing the need for a high-speed, pan-European
                         network, some networking experts believed that the
                         requirements for a wide-area network, such as the pan-
                         European network, are driven largely by the
                         capabilities of local-area networks.  Currently, most
                         local-area networks in Europe operate at speeds
                         ranging from 10 to 30 megabits per second, with an
                         increasing number of 100 megabits per second networks
                         being implemented.  As users become accustomed to the
                         speed and services available on the local-area
                         networks, they begin to want similar speed and
                         services from wide-area networks.
 
                         Network operators and users also explained that, while
                         national networks are progressing, a Europe-wide
                         backbone infrastructure connecting existing national
                         networks is needed to allow effective collaboration
                         among European researchers.  Without such a network,
                         the network operators and users believe it will be
                         impossible to bring together the needed expertise and
                         resources from across Europe to meet large-scale
                         technical challenges.
 
                         An official of the Commission of the European
                         Communities stated that a high-speed, state-of-the-
                         art, pan-European research and education network will
                         be needed to support their Networks of Excellence
                         program.  This program is intended to bring together
                         European research efforts in key areas of information
                         technology.  Whereas present research efforts are
                         often spread among various national facilities and
                         programs, the Networks of Excellence program creates
                         the organizational structure to link top-level
                         European researchers in related interdisciplinary
                         fields.#22  At the time of our review, three pilot
                         Networks of Excellence had been established to address
                         the subject areas of Speech and Natural Language,
                         Distributed Computing Systems Architecture, and
                         Computational Logic.  Although these Networks of
                         Excellence rely on access to the national or
 
                         ______________________________________________________
                              21  Although the IXI pilot network provides a
                         backbone service, it operates at only 64 kilobits per
                         second and may not be able to operate at speeds higher
                         than 2 megabits per second.
 
                              22  The scope of the Networks of Excellence
                         program does not include providing a
                         telecommunications network.
 
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                         Appendix II
                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         international networks described earlier, a high-
                         speed, pan-European telecommunications infrastructure
                         is needed to allow the Networks of Excellence concept
                         to reach its potential.
 
                         Officials of the Commission of the European
                         Communities also stated that a pan-European research
                         and education network is needed to help lessen the
                         economic disparity between northern and southern
                         Europe.  The officials foresee that, without a pan-
                         European infrastructure, southern European nations
                         could fall further behind because they lack the
                         capital to invest in an infrastructure to support
                         research and education.  According to one official, a
                         pan-European network could give southern European
                         research and education communities access to the
                         expertise and resources of northern Europe.
 
  _____________________________________________________________________________
  Efforts to Establish   Representatives of European networking organizations
  a Pan-European         and the Commission of the European Communities told
  Backbone Network       us that recent progress toward implementing a pan-
                         European network has been good.  Moreover, they were
                         optimistic that organizational and funding problems
                         will be resolved, resulting in implementation of a
                         pan-European backbone network in the near future.
                         Several officials noted that a higher-speed network
                         could be offered by the mid-1990s.
 
                         RARE has been an active proponent of high-speed
                         networking in Europe.  In February 1989 and in January
                         1991, RARE sponsored networking symposiums to
                         highlight user needs for high-speed communications.
                         In May 1989, RARE's Working Group 6, which deals with
                         medium- and high-speed communications, proposed
                         initiating a high-speed, pan-European network.  While
                         these efforts did not result in a high-speed, pan-
                         European backbone network, or even a firm plan for
                         implementing one, they have resulted in a general
                         agreement that such a network is needed and that
                         impending organizational and funding obstacles must be
                         addressed.
 
                         In March 1991, an official of the Dutch government
                         organized the European Consultative Forum on Research
                         Networking, which brought together the key players
                         from the political and networking communities to
                         discuss development of a high-speed, pan-European
                         backbone network.  Forum participants agreed that
                         organizational and funding issues must be resolved so
                         that new high-speed communications services can be
                         developed.
 
 
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  _____________________________________________________________________________
                         Appendix II
                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         In May 1991, the European Engineering Planning Group
                         (EEPG), composed of network experts organized by RARE,
                         and chartered to undertake specific activities aimed
                         at establishing a high-speed, pan-European backbone
                         network, proposed an organizational structure for
                         operating such a network and raising funds.  EEPG
                         also proposed alternative technical approaches for
                         implementing a pan-European backbone network.
 
                         Also in May 1991, at the Second Joint European
                         Networking Conference sponsored by RARE, EEPG's
                         proposals were presented to an international audience.
                         Additionally, the president of RARE presented a
                         description of the political actions, the
                         organizational structures, the technical tasks, and
                         other steps needed to implement a high-speed, pan-
                         European backbone network.  Officials representing the
                         Commission of the European Communities stressed the
                         need for such a network and their willingness to
                         assist in its implementation.
 
  _____________________________________________________________________________
  The Technology         European officials stated that much of the technology
  Needed for High-       needed to improve national networks and create a
  Speed Networks Is      high-speed, pan-European network already exists.  In
  Being Developed        addition, efforts are under way to develop more
  in Europe              advanced technology to implement even higher-speed
                         research and education networks.  For example,
                         Germany's University of Stuttgart Computing Center, a
                         large supercomputing facility, has conducted high-
                         speed trials using the Forerunner Broadband Network
                         service.  This service is offered by Germany's PTT to
                         about 250 users and provides video conferencing and
                         data transfer at 140 megabits per second.  The
                         Stuttgart Computing Center has successfully operated
                         long-distance links using 100 megabits per second of
                         this capacity.  An official of the Center told us that
                         a high-speed, pan-European backbone network is
                         technically possible by 1992.
 
                         Another effort based in Germany is the BERKOM project,
                         which is intended to stimulate the development of
                         high-speed communication services, end systems, and
                         applications.  The project is being undertaken by the
                         German PTT and includes the participation of over 70
                         organizations, such as equipment suppliers, research
                         institutes, and commercial users of high-speed
                         communications.  At the time of our review, the
                         project had resulted in the installation of 30,000
                         kilometers of fiber-optic cables and  switching
                         equipment near Berlin, yielding a network that
                         provides access speeds ranging from 64 kilobits per
                         second to 140 megabits per second.  A BERKOM official
 
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                         Appendix II
                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         told us that pan-European research and education
                         networks with operational speeds exceeding 100
                         megabits per second will soon be technically feasible,
                         and that speeds approaching a gigabit per second will
                         be needed in the foreseeable future.
 
                         Another initiative to stimulate development of
                         communication technology is the Research and
                         Development in Advanced Communications Technologies in
                         Europe (RACE) program, sponsored by the Commission of
                         the European Communities.  This program is meant to
                         facilitate the introduction of commercial Integrated
                         Broadband Communication (IBC) services in Europe by
                         1995 by funding research in pre-competitive
                         technology.#23  IBC services being developed could be
                         used to support a pan-European research and education
                         network, as well as meet the needs of industrial
                         users.  RACE, which is now entering its second phase,
                         has 85 ongoing projects involving 300 participating
                         organizations and 2,000 people.  Funding for phases I
                         and II is provided by the Commission of the European
                         Communities and RACE participants.  Phase I was
                         budgeted at 1.1 billion ECUs for 1987 through 1991.
                         Phase II, which partially overlaps phase I, is
                         scheduled to run from 1990 through 1994, and is
                         budgeted at 1 billion ECUs.
 
  #####################________________________________________________________
  ORGANIZATION AND       Although much of the technology required to create a
  FUNDING ISSUES MUST    pan-European research and education backbone network
  BE RESOLVED TO         is thought to be available, European officials told
  IMPLEMENT A PAN-       us that Europe faces significant issues in managing
  EUROPEAN BACKBONE      and funding such a network.  European officials were
  NETWORK                generally optimistic that these issues will be
                         resolved, and that a high-speed, pan-European backbone
                         network will be implemented.
 
                         Many organizations in Europe actively support computer
                         networking for European research and education
                         communities.  However, none has the charter to provide
                         a pan-European backbone infrastructure to link
                         national networks supporting multiple disciplines and
 
                         ______________________________________________________
                              23  Integrated Broadband Communication is the use
                         of wide-area, high-capacity networks to simultaneously
                         provide a variety of communication services such as
                         voice, data transmission, and image transfer.  RACE
                         officials told us that these types of services should
                         be generally available by the mid-1990s and would be
                         very useful to research and education networks, even
                         though development of such networks is not an explicit
                         objective of the RACE program.
 
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                         Appendix II
                         High-Speed Computer Networks Supporting
                         Research and Education in Europe
 
  _____________________________________________________________________________
                         needs.  The lack of central leadership has led to
                         unsatisfactory cross-border networking services in
                         Europe.  In May 1991, a group of networking experts
                         reported that while Europe does not lack the
                         technology, skills, and competence to implement a
                         high-speed, pan-European network, a cohesive, central
                         organizational force and a supportive regulatory
                         environment are missing.#24  An official of the
                         Commission of the European Communities told us that
                         progress has been slow because consensus among the
                         large number of countries and organizations involved
                         is not easily achieved.  Organizing the development of
                         a pan-European network could potentially include the
                         12 European Community countries, 6 European Free Trade
                         Area countries, and Poland, Hungary, and
                         Czechoslovakia.
 
                         Most of the officials also told us that it is
                         difficult and expensive to obtain cross-border
                         telecommunications services because there is no pan-
                         European service provider.  Rather, service is
                         provided by national PTTs, which generally operate as
                         regulated monopolies within their respective
                         countries.  Therefore, instead of working with a
                         single provider, network operators must coordinate
                         with multiple PTTs to obtain a line from one country
                         to another.  For example, if a network operator wants
                         to obtain a link between the Netherlands and France,
                         it must coordinate with officials of the intervening
                         nation--in this case, the Belgian PTT--as well as with
                         the PTTs of France and the Netherlands.  Network
                         operators told us that obtaining cross-border lines is
                         time-consuming and expensive.  While
                         telecommunications costs are different in each
                         country, many European tariffs are reported to be 10
                         times higher than in the United States.  The PTTs have
                         implemented some changes to simplify matters; however,
                         network operators stated that the situation is still
                         far from satisfactory.
 
                         Pan-European networking is further complicated by the
                         use of different telecommunications protocols among
                         users and networks.  Some European countries, as well
                         as the Commission of the European Communities,
                         actively encourage the use of protocols that comply
                         with the Open Systems Interconnection model, such as
                         X.25, to avoid reliance on vendor-specific network
                         solutions.  However, for various reasons, many
                         researchers often use other protocols that do not
                         comply with the model.
 
                         ______________________________________________________
                              24  European Engineering Planning Group, Final
                         Report, (May 2, 1991).
 
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  Appendix III
  _____________________________________________________________________________
  HIGH-SPEED COMPUTER NETWORKS SUPPORTING
  RESEARCH AND EDUCATION IN JAPAN
 
  _____________________________________________________________________________
                         In Japan, government-funded and private networks
                         provide support for the major research and academic
                         institutions.  However, some Japanese officials
                         believe that Japan's networks, overall, are less
                         advanced than networks in the United States.  Japanese
                         officials told us that high-speed networks are an
                         integral part of ongoing plans and initiatives to
                         further the nation's telecommunications capability.
                         For example, plans are being formulated to develop a
                         fiber-optic digital network capable of transmitting
                         digitized voice, data, and video traffic, and
                         providing a standard way to share information at high
                         speeds.  However, some Japanese officials believe that
                         successful expansion of Japan's computer network
                         infrastructure may depend on whether adequate funding
                         and government coordination exists to support these
                         plans and initiatives.
 
  #####################________________________________________________________
  JAPANESE RESEARCH AND  Japanese research and education networks provide
  EDUCATION NETWORKS     nationwide connectivity to academic researchers at
  PROVIDE RELATIVELY     universities throughout Japan, and to other
  LOW-SPEED CAPABILITY   specialized groups of users, such as those serving
                         the high-energy physics community.  Most of these
                         networks transmit data at relatively low speeds of 192
                         kilobits per second or less.  Only one of the networks
                         that we observed provided high-speed data transmission
                         at a speed of 1.5 megabits per second.  According to
                         some Japanese officials, high-speed research and
                         education networks in Japan may not be as widespread
                         or advanced as United States networks because Japanese
                         researchers tend to be located closer together and
                         concentrated in fewer organizations.
 
  _____________________________________________________________________________
  Science Information    The Science Information Network is the only high-speed
  Network                network that we identified in Japan.#25  The network
 
 
 
 
 
 
 
 
                         ______________________________________________________
                              25  Although the Science Information Network was
                         the only high-speed network that we identified,
                         Japanese officials told us that high-speed links have
                         been created by some private companies, such as Honda
                         Motor Co., Ltd.  We also were informed that an
                         extensive local-area network connecting nine
                         government laboratories and a supercomputer center
                         over high-speed links exists in Tsukuba Science City.
 
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                         Appendix III
                         High-Speed Computer Networks Supporting
                         Research and Education in Japan
 
  _____________________________________________________________________________
                         was created in 1987 by the National Center for Science
                         Information System (NACSIS), an inter-university
                         research institute authorized by the Japan National
                         University Chartering Law.  NACSIS created the network
                         to promote the exchange of scientific information
                         among researchers, primarily at universities, national
                         research institutes, and major libraries throughout
                         Japan.  The Science Information Network expanded the
                         services of one of Japan's earliest computer networks,
                         the N-1 Network, which began operation in 1981 to
                         facilitate the sharing of computer resources.  The
                         Science Information Network is funded by the
                         government, receiving approximately 400 million yen
                         annually for circuits and an unspecified amount for
                         maintenance fees from the Ministry of Education,
                         Science, and Culture.#26
 
                         According to NACSIS officials, the Science Information
                         Network has a 1.5 megabits per second (T1) backbone,
                         with trunk lines connecting to 40 nodes at speeds
                         ranging from 64 to 512 kilobits per second.  The
                         network supports various protocols, including X.25,
                         the Transmission Control Protocol/Internet Protocol
                         (TCP/IP), and certain proprietary protocols.
 
                         The Science Information Network provides services of
                         the N-1 network and also is used for library
                         information exchange, electronic mail, and
                         experimental projects.  The network directly links 135
                         universities, and provides packet-switching or dial-up
                         connections to an unspecified number of other
                         universities.  Among the members of this network are
                         the seven inter-university computing centers
                         throughout the main Japanese islands.  Since 1989, the
                         Science Information Network also has provided its
                         users with international connections to the National
                         Science Foundation in Washington, D.C., and since
                         1990, to the British Library in London.  In addition,
                         NACSIS encourages interconnections among local-area
                         networks on university campuses in order to promote
                         greater use of computers by a wider range of
                         researchers for more advanced applications.
 
                         NACSIS officials told us that they want to upgrade the
                         network to provide minimum trunk line speeds of 192
                         kilobits per second for all major locations, and to
                         offer new services, such as video conferencing.
                         Accomplishing these goals, however, will depend on
                         whether funding required to install new circuits can
 
                         ______________________________________________________
                              26  In June 1991, one dollar equaled
                         approximately 137.55 yen.
 
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                         Appendix III
                         High-Speed Computer Networks Supporting
                         Research and Education in Japan
 
  _____________________________________________________________________________
                         be obtained from the Ministry of Education, Science,
                         and Culture.
 
  _____________________________________________________________________________
  Widely Integrated      The Widely Integrated Distributed Environment (WIDE)
  Distributed            Internet project was initiated in July 1987 by a
  Environment Internet   professor at the University of Tokyo.  The project
                         was designed to provide a testbed for the development
                         of large-scale distributed systems technologies, and
                         was initially constructed by interconnecting several
                         local-area networks.  The network has since provided a
                         basis for Japanese computer science researchers to
                         gain practical experience in advanced networking.  The
                         WIDE project also sponsors a consortium to study
                         various computer issues including computer security
                         and protocols and home computing.  The WIDE project
                         operates as a nongovernment network with funding
                         support from about 25 private companies.  According to
                         a WIDE project representative, the operating budget
                         for this network totals about 82.5 million yen
                         annually.
 
                         The WIDE Internet is composed of a variety of links,
                         including dial-up voice grade lines, voice grade
                         leased lines, 64 kilobits per second and 192 kilobits
                         per second digital leased lines, a 64 kilobits per
                         second link to the Science Information Network of
                         NACSIS, and an integrated services digital network.
                         Currently, 43 user organizations, including
                         universities and private companies, are connected to
                         five operation centers through lines operating at 9.6
                         to 192 kilobits per second.  The WIDE project
                         provides connectivity to other networks, such as the
                         University of Tokyo International Science Network, and
                         supports TCP/IP as the basic protocol.
 
                         WIDE operates in conjunction with the Pacific Area
                         Computer Communication (PACCOM) project to provide
                         international links for Japanese researchers.  PACCOM
                         began as a testbed project by the University of Hawaii
                         in June 1988.  PACCOM provides international
                         connections for some users in Japan to the United
                         States and several other countries by means of links
                         between two Japanese universities and PACCOM's
                         operation center at the University of Hawaii.
                         Connections between Japan and Hawaii are provided by
                         five 64 kilobits per second lines.
 
  _____________________________________________________________________________
  Japanese University    The Japanese University Network (JUNET) is an academic
  Network                network offering electronic mail and electronic news
                         services.  JUNET was begun in 1984 by university
                         students to provide a testing environment for computer
 
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                         Appendix III
                         High-Speed Computer Networks Supporting
                         Research and Education in Japan
 
  _____________________________________________________________________________
                         network research, and promote information exchange
                         among Japanese and other researchers.  JUNET is the
                         largest nationwide, noncommercial computer network in
                         Japan.  As of March 1991, the network connected
                         approximately 450 universities and private companies
                         throughout Japan.  Two primary international gateways
                         also provide connections to Europe, the United States,
                         Australia, and Korea.  JUNET is not a high-speed
                         network; many of its links are 9.6 kilobits per
                         second.  The WIDE internet serves as a backbone link
                         for JUNET, using the X.25 protocol and leased lines
                         to process traffic.
 
                         JUNET is operated on a volunteer basis.  Within Japan,
                         each user organization is requested to fund and manage
                         links between its neighboring organizations.  In
                         addition, users are charged according to the service
                         they use on international links, which are expensive
                         to support.
 
  _____________________________________________________________________________
  High Energy Physics    The High Energy Physics Network-Japan (HEPNET-Japan)
  Network-Japan          is the Japanese portion of the international high-
                         energy physics network.  It was established in 1982 to
                         enable researchers to access computing power at the
                         National Laboratory for High Energy Physics (KEK),
                         which also operates the network.#27
 
                         Presently, HEPNET-Japan connects researchers at more
                         than 35 universities and other research facilities
                         throughout Japan.  The network uses leased lines and
                         private network services operating at 9.6 to 64
                         kilobits per second, and supports the TCP/IP and
                         DECnet protocols.  The network also provides
                         international connectivity to the Lawrence Berkeley
                         Laboratories in California by a 56 kilobits per second
                         line.  HEPNET-Japan provides various services,
                         including remote interactive computer access, data
                         transfer, and electronic mail, and supports other
                         uses, such as complex distributed computing
                         applications.
 
                         KEK officials stated that they plan to upgrade HEPNET-
                         Japan, and have requested funds to begin improving the
                         speed of the network.  As planned, the network will
                         operate six hub sites serving users in the surrounding
                         areas, and connect to KEK by means of 512 kilobits per
 
                         ______________________________________________________
                              27  KEK is a national laboratory for high-energy
                         physics research, which is funded by the Ministry of
                         Education, Science, and Culture.  The laboratory is
                         located in Tsukuba Science City, near Tokyo.
 
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                         Appendix III
                         High-Speed Computer Networks Supporting
                         Research and Education in Japan
 
  _____________________________________________________________________________
                         second or higher-speed dedicated leased lines.
                         Funding for the upgrade, which is estimated to cost
                         about 100 million yen annually for leased lines, is
                         being requested in 1991 from the Ministry of
                         Education, Science, and Culture.  Additional upgrades
                         to increase the speed of the HEPNET-Japan backbone to
                         1.5 megabits per second (or higher speed) lines also
                         are planned, but funds have not yet been requested.
 
  _____________________________________________________________________________
  Japan Information      The Japan Information Center of Science and Technology
  Center of Science      (JICST) network provides users throughout Japan with
  and Technology         access to a multitude of bibliographic and factual
  Network                data bases to encourage scientific and technical
                         research.  Presently, JICST offers access to over 90
                         million citations on approximately 118 data bases,
                         including data bases that exist outside of Japan.  The
                         network is operated by JICST, a quasi-governmental
                         organization, which is financed by income from the
                         Science and Technology Agency of the Japanese
                         government and from service fees.  About half of
                         JICST's annual budget comes from the Agency and half
                         comes from service fees.
 
                         Over three-quarters of the JICST network users are
                         private companies; about one-fourth of the users are
                         universities, the Japanese government, or other
                         agencies.  These users gain access to JICST's data
                         bases on lines operating at between 300 and 2,400
                         bits per second, and connecting to 10 JICST branch
                         offices located throughout Japan.  The branch offices
                         also have connections to the online data bases over
                         lines operating at 14.4 to 64 kilobits per second.
                         JICST officials estimated that network use has almost
                         doubled over the past 5 years, with users currently
                         making more than 100,000 inquiries into the data bases
                         each month.  JICST officials want to provide upgraded
                         capability to improve online data base service and the
                         transfer of large data files.
 
  #####################________________________________________________________
  PLANS FOR FUTURE       According to some officials, high-speed networks are
  NETWORKS IN JAPAN      recognized in Japan as being important and valuable,
                         and efforts to enhance the speed and capability of the
                         existing computer networking infrastructure are
                         actively encouraged.  The officials stated that
                         Japanese ministries, as well as private sponsors, have
                         proposed projects or initiated studies aimed at
                         expanding Japan's networking capability to support
                         research and education.
 
 
 
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                         Appendix III
                         High-Speed Computer Networks Supporting
                         Research and Education in Japan
 
  _____________________________________________________________________________
  _____________________________________________________________________________
  Plans to Build a       One of Japan's most significant initiatives is a plan
  Fiber-Optic            to develop a fiber-optic digital network that will
  Digital Network        provide service to all businesses and virtually all
                         homes in Japan by the year 2015.  This fiber-to-the-
                         home project will support a broadband Integrated
                         Services Digital Network (ISDN) that Japan's largest
                         telephone company, Nippon Telegraph and Telephone
                         Corporation (NTT), plans to build at an estimated cost
                         of 34 to 40 trillion yen (approximately $250 billion)
                         over 25 years.  NTT receives guidance and supervision
                         from Japan's Ministry of Posts and Telecommunications,
                         which is responsible for regulating the
                         telecommunications industry.
 
                         As part of the project, fiber-optic cable will be used
                         to transmit digitized voice, data, and video traffic
                         through a single line.  NTT's goal is to provide
                         services such as portable "pocket phones,"
                         communication of characters and images ("textmail")
                         between any computer on any computer network, and a
                         "visual phone" with picture quality comparable to that
                         of television.  NTT also envisions other advanced
                         services such as 3-D video communications and
                         automatic translation communications.
 
                         According to an NTT representative, certain factors
                         may affect the timing and extent of the project's
                         development.  For example, NTT plans to fund the
                         fiber-to-the-home project with corporate investment
                         funds generated from operating revenues, rather than
                         from direct Japanese government general funds.  In the
                         future, NTT also could receive some tax incentives.
                         However, according to NTT's 1990 Annual Report, a
                         large part of the corporation's stock is government-
                         owned. Upon incorporation on April 1, 1985, all the
                         assets and liabilities of NTT's predecessor, the
                         Nippon Telegraph & Telephone Public Corporation, were
                         transferred to the Japanese government.  Since that
                         time, the Japanese government has sold about one-third
                         of these shares to the public.  Eventually, the
                         Japanese government could reduce its share of the
                         remaining stock ownership by another one-third, in
                         accordance with the relevant Japanese law.
 
                         Moreover, if the fiber-optic cable is to be funded out
                         of NTT's operating revenues, the plan may proceed only
                         to the extent that consumers will pay for the
                         services.  However, according to the NTT
                         representative, possibly the least developed part of
                         the project plan is the extent to which actual
                         customer needs have been defined.  In addition, at
                         least one important regulatory issue needs to be
                         clarified before NTT will implement its fiber-to-the-
 
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                         Appendix III
                         High-Speed Computer Networks Supporting
                         Research and Education in Japan
 
  _____________________________________________________________________________
                         home plan.  The NTT representative explained that a
                         current law may prohibit NTT from obtaining a license
                         to provide home cable television services.  If this is
                         determined to be the case, the law will have to be
                         changed, or NTT will have to reevaluate further
                         investment in the network.
 
                         A possible reorganization of the telephone industry in
                         Japan also may affect NTT's plan.  A Japanese
                         government report in 1990 proposed dividing up NTT
                         into smaller organizations, but no action was taken at
                         that time.  However, this issue may be reevaluated in
                         1995.  The impact of this regulatory decision on NTT's
                         plans is uncertain.
 
  _____________________________________________________________________________
  Initiatives Being      At the time of our review, representatives of the
  Studied to Enhance     Ministry of International Trade and Industry (MITI)
  Japan's Network        told us that they were studying initiatives that
  Capabilities           could result in expanding the capability of Japanese
                         research and education networks.  These initiatives
                         are intended to strengthen the infrastructure for
                         research, expand knowledge in computer technology, and
                         further international scientific cooperation.
 
                         As one initiative, MITI is considering whether to
                         provide further funding to improve networks linking
                         Japan's supercomputer centers.  MITI officials
                         explained that although the number of supercomputers
                         is increasing in Japan, the linkages between
                         supercomputer centers is limited.  Moreover,
                         researchers' access to these centers depends on how
                         the centers are funded.  MITI officials stated that
                         currently, supercomputer centers are either (1) funded
                         by the Ministry of Education, Science, and Culture and
                         are limited to users at major universities, (2) funded
                         by MITI for use by researchers at various national
                         laboratories, or (3) privately funded for commercial
                         business purposes.  Under the initiative that MITI is
                         considering, researchers would be allowed to access
                         supercomputer centers regardless of the source of
                         their funding.  Although MITI recognizes that there is
                         a need for faster networks, the officials knew of no
                         Japanese government initiative to study computer
                         networks faster than 1.5 megabits per second.
 
                         MITI officials told us that government funding has not
                         yet been approved for this initiative.  MITI
                         representatives estimated that if approved, the first-
                         year budget for this initiative will be about 600
                         million yen, which may include contributions from
                         Japanese companies.  MITI plans to have more
                         discussions and request comments from interested
                         parties on this matter.
 
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                         Appendix III
                         High-Speed Computer Networks Supporting
                         Research and Education in Japan
 
  _____________________________________________________________________________
 
  #####################________________________________________________________
  ISSUES AFFECTING       Representatives of various Japanese organizations told
  JAPAN'S FUTURE         us that further development of computer networks to
  DEVELOPMENT OF         support research and education activities depends on
  COMPUTER NETWORKS      how Japan responds to issues concerning its budget
                         environment, coordination among Japanese government
                         ministries, and a shrinking labor force.
 
                         Operators of existing networks and representatives of
                         Japanese ministries told us that expanding the number
                         and capability of research and education computer
                         networks will require successfully competing with
                         other high-priority programs for government funds.
                         According to a United States Embassy official in
                         Tokyo, some Japanese officials perceive that higher
                         education, including academic research, has not been a
                         top priority, and therefore, is not well-funded by the
                         government.  Moreover, planning, building, and
                         operating future networks may require funding and
                         support from several government ministries, such as
                         MITI and the Ministry of Education, Science, and
                         Culture, rather than from only one organization, as
                         was previously done.  This would require, in the
                         opinion of various ministry representatives, more
                         government coordination than now exists.
 
                         Another issue which may affect increased networking,
                         and in particular the broadband ISDN project, is a
                         forecasted shortage of workers to install the fiber-
                         optic cables and other telecommunications equipment.
                         According to United States Embassy officials in Tokyo,
                         a declining birth rate trend threatens to shrink
                         Japan's population, and consequently, the size of its
                         labor force.  An NTT representative added that finding
                         sufficient numbers of workers also is difficult
                         because many of the younger Japanese workers consider
                         certain construction work, such as installing fiber-
                         optic cables, to be dirty, difficult, and generally
                         undesirable.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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  Appendix IV
  _____________________________________________________________________________
  OBJECTIVES, SCOPE, AND METHODOLOGY
 
  _____________________________________________________________________________
                         At the request of the Senate Subcommittee on Science,
                         Technology, and Space; Senate Committee on Commerce,
                         Science, and Transportation; House Subcommittee on
                         Technology and Competitiveness; and House Committee on
                         Science, Space, and Technology, we studied the
                         development of high-speed computer networks in the
                         United States, Europe, and Japan.  Because high-
                         speed computer networks used for research and
                         education are of primary interest in the United
                         States, we specifically focused on networks that are
                         used to facilitate these types of applications.
 
                         In conducting our review, we interviewed officials of
                         various United States government agencies, including
                         the National Science Foundation, the Defense Advanced
                         Research Projects Agency, the National Aeronautics and
                         Space Administration, and the Department of Commerce.
                         In addition, we met with representatives of other
                         organizations and agencies, such as the Corporation
                         for National Research Initiatives, the Federal
                         Networking Council, and EDUCOM, a nonprofit consortium
                         of higher education institutions which facilitates the
                         use and management of information resources in
                         teaching, learning, and research.
 
                         To determine which European and Japanese networks to
                         include in our review, we obtained and analyzed
                         various documents describing each nation's network
                         infrastructures, policies, and initiatives.  We
                         attended networking symposiums held in the United
                         States and Europe during the time of our review; and
                         consulted with numerous government and academic
                         officials who were considered experts on European and
                         Japanese computer and communication technologies, and
                         officials of the United States Mission to the European
                         Community and the United States Embassy in Tokyo.
 
                         On the basis of information obtained from these
                         sources, we limited our review to those networks
                         identified as providing high-speed communication
                         capabilities, or if low-speed, as being important to
                         European and Japanese research and education.
                         Although high-speed is not formally or universally
                         defined, various officials and symposium participants
                         considered high-speed networks to be capable of
                         operating at T1 speeds of 1.544 megabits per second in
                         the United States and Japan, or E1 speeds of 2.048
                         megabits per second in Europe.  We excluded from our
                         review networks that were operated on a private, for-
 
 
 
 
 
 
 
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  _____________________________________________________________________________
                         Appendix IV
                         Objectives, Scope, and Methodology
 
  _____________________________________________________________________________
                         profit basis.  In addition, because of the size of the
                         European Community, we limited our review to national
                         research and education networks in five countries--
                         France, Germany, Italy, the Netherlands, and the
                         United Kingdom--and five principal pan-European
                         networks.
 
                         In the European countries and Japan, we interviewed
                         government personnel, representatives of organizations
                         responsible for research and development, members of
                         the academic community, managers of key projects for
                         enhancing the network infrastructure, and
                         telecommunications industry officials.  From these
                         sources, we obtained information describing the
                         present networking infrastructures, plans to upgrade
                         or develop future infrastructures, and to the extent
                         possible, the resources being applied to these
                         efforts.  We also obtained information regarding the
                         challenges or concerns that Europe and Japan believe
                         must be addressed before future plans can be fully
                         realized.
 
                         To confirm our understanding of network development,
                         we discussed the information in this report with
                         various government officials and representatives of
                         network organizations in the United States, Europe,
                         and Japan, and have incorporated their views as
                         appropriate.  However, we did not independently verify
                         the validity or accuracy of the information provided.
                         Our work was conducted from October 1990 to June 1991,
                         primarily in Washington, D.C., and the European and
                         Japanese locations listed in appendixes V and VI,
                         respectively.
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                         Page 41            GAO/IMTEC-91-69 High-Speed Networks

  Appendix V
  _____________________________________________________________________________
  ORGANIZATIONS AND ENTITIES CONTACTED REGARDING
  EUROPEAN NETWORKS
 
 
  #####################________________________________________________________
  EUROPEAN COUNTRIES
 
  _____________________________________________________________________________
  France                 Government Organizations
                           Ministry of Research and Technology
                           National Center for Scientific Research
 
                         Network Operators and Users
                           National Aerospace Research Center
                           National Research Institute for Computer
                             Science and Automation
 
                         Postal, Telegraph, and Telephone Administration
                           France Telecom
 
  _____________________________________________________________________________
  Germany                Government Organization
                           Ministry for Research and Technology
 
                         Network Operators and Users
                           Deutsche Forschungsnetz (National Research Network
                             Center)
                           The German National Research Center for Computer
                             Science
 
                         Postal, Telegraph, and Telephone Administration
                           Deutsche Bundespost
 
  _____________________________________________________________________________
  Italy                  Government Organization
                           Ministry of Universities and Scientific Research
 
                         Network Operators and Users
                           Group for the Harmonization of Research Networks
                           National Institute of Nuclear Physics
 
                         Postal Telephone and Telegraph Administration
                           ItalCable (Italian International Telephone Agency)
                           Italian Public Agency for Telephones
 
  _____________________________________________________________________________
  The Netherlands        Government Organizations
                           Ministry of Education
 
                         Network Operators and Users
                           SURFnet B.V.
 
 
 
 
 
 
 
 
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  _____________________________________________________________________________
                         Appendix V
                         Organizations and Entities Contacted
                         Regarding European Networks
 
  _____________________________________________________________________________
 
 
  #####################________________________________________________________
  PAN-EUROPEAN           Government Organizations
  REPRESENTATIVES          Commission of the European Communities,
                             Directorate-General for Telecommunications
                           European Strategic Program for Research and
                             Development in Information Technology (Esprit)
                           Research and Development in Advanced Communications
                             Technologies in Europe (RACE) Program
 
                         Networking Organizations
                           Association of Internet Protocol Users in Europe
                             (RIPE)
                           Reseaux Associes pour la Recherche Europeenne
                             (RARE)
 
                         Network Operators
                           European Academic Research Network
                           European UNIX Network
                           International X.25 Infrastructure Network
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                         Page 43            GAO/IMTEC-91-69 High-Speed Networks

  Appendix VI
  _____________________________________________________________________________
  ORGANIZATIONS AND ENTITIES CONTACTED REGARDING
  JAPANESE NETWORKS
 
  _____________________________________________________________________________
  Japanese Ministries
  and Government
  Organizations
                         Ministry of Education, Science, and Culture
                         Ministry of Foreign Affairs
                         Ministry of International Trade and Industry
                         Ministry of Posts and Telecommunications
                         National Institute of Science and Technology
                           Policy
 
  _____________________________________________________________________________
  Japanese Network       Electrotechnical Laboratory
  Operators and Users    Japan Information Center of Science and Technology
                         National Center for Science Information System
                         National Laboratory for High Energy Physics
                         Research Information Processing System
                         University of Tokyo Computer Center
                         Widely Integrated Distributed Environment Internet
 
  _____________________________________________________________________________
  Japanese Industry      Institute for New Generation Computer Technology
  and Other              Kawasaki Steel Systems R&D Corporation
  Organizations          NEC Corporation
                         Nippon Telegraph and Telephone Corporation
                         Sony Corporation
 
  _____________________________________________________________________________
  United States          Department of Defense, Office of Naval Research
  Government               Asian Office (Tokyo)
                         United States Embassy, Tokyo
 
  _____________________________________________________________________________
  United States          American Chamber of Commerce (High Technology
  Industry and Other       Committee), Japan
  Organizations          International Business Machines (IBM) World Trade Asia
                           Corporation, IBM Asia Pacific
                         Pacific Area Computer Communication Testbed
                         (University of Hawaii)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
                         Page 44            GAO/IMTEC-91-69 High-Speed Networks

  Appendix VII
  _____________________________________________________________________________
  MAJOR CONTRIBUTORS TO THIS REPORT
 
 
  #####################________________________________________________________
  INFORMATION            Linda D. Koontz, Assistant Director
  MANAGEMENT AND         Valerie C. Melvin, Senior Evaluator-in-Charge
  TECHNOLOGY DIVISION,   Yvette Ramos, Computer Scientist
  WASHINGTON, D.C.
 
  #####################________________________________________________________
  LOS ANGELES REGIONAL   Allan Roberts, Assistant Director
  OFFICE                 Ambrose A. McGraw, Senior Evaluator
 
  #####################________________________________________________________
  EUROPEAN OFFICE        Danny R. Burton, Assignment Manager
                         Paul D. Alcocer, Senior Evaluator
                         Kirk R. Boyer, Evaluator
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
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