NameVault™ DNS Appliance Return On Investment

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NameVault™ DNS Appliance Return On Investment

Version 1.1 October 31, 2003

BorderWare Technologies Inc.

Copyright © 2003 BorderWare Technologies Inc.

Return On Investment

NameVault™ DNS Appliance – ROI Paper

Summary......................................................................................................................................... 3 The Bottom Line........................................................................................................................ 3 Introduction..................................................................................................................................... 3 Assumptions................................................................................................................................... 4 A Complete Appliance Based Solution....................................................................................... 5 Purchase Cost Comparison .................................................................................................... 5 Implement and Configure Your DNS In Hours .......................................................................... 7 Implementation and Configuration Cost Comparison.......................................................... 7 Spend Less Time Maintaining DNS............................................................................................ 8 An Unmistakably Cost Effective Solution................................................................................. 12 Total Cost of Ownership Comparison.................................................................................. 12 More Than Just A Financially Sound Investment ................................................................... 13 Return On Investment ............................................................................................................ 13 Net Present Value & Payback Period .................................................................................. 13

SUMMARY

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Return On Investment

Summary The Bottom Line The NameVault™ DNS Appliance by BorderWare Technologies provides substantial cost savings over other competitive offerings while dramatically lowering the overall cost of maintaining a locally hosted DNS. The findings are summarized below: •

Implementation and configuration costs for the NameVault™ DNS Appliance are over 25 times lower compared to a Unix-Based or Windows® NT/2000/XP based DNS solution.



NameVault™ DNS Appliance allows you to implement and configure your DNS in a matter of hours, not days.



Even a junior IT professional can configure and implement domain name services using the NameVault™ DNS Appliance.



Yearly maintenance costs for the NameVault™ DNS Appliance are more than 13 times lower when compared to the cost of maintaining a Unix-Based or Windows® NT/2000/XP based DNS solution.



Maintenance for a NameVault™ DNS Appliance is reduced by a factor of 8 times when compared to alternate Unix-Based or Windows® NT/2000/XP based DNS solutions, thus increasing IT staff productivity.



In the first year of ownership, the NameVault™’s total cost is less than half of the total cost for a Unix or NT/2000 solution.



During the following four years, NameVault™’s total costs are a fraction of a Unix or NT/2000 solution’s total cost – Less than 8% of the total cost.



NameVault™’s return on investment is over 380% during a period of five years.



NameVault™ savings provide a very high net present value (NPV) of over $50,000.



NameVault™ is a low risk investment with a payback period as low as 3½ months.

Introduction The NameVault™ DNS Appliance is a dedicated DNS appliance that integrates powerful Java® technology into a simple, low cost network solution. The NameVault™ © 2003 Borderware Technologies

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Return On Investment

Management Console makes it possible to create, set-up, and maintain a domain name service securely, while simplifying the network and server workload management. Featuring easy-to-use wizards, cut/copy/paste functionality, data check, and high availability, the NameVault™ DNS Appliance provides a complete DNS solution. With the NameVault™ DNS Appliance, implementation, configuration, and maintenance of your DNS is quick and can be handled by staff with minimal formal training in DNS. This document compares the NameVault™ DNS Appliance and Management Console to two other common DNS solutions, namely a Unix Server-based solution and a Windows® NT/2000-based solution. This comparison provides a financial analysis of the three solutions utilizing conservative estimates of time and labour costs to identify which of the three solutions is most efficient and cost effective. This financial analysis clearly illustrates that the NameVault™ DNS Appliance and Management Console provides the lowest cost DNS solution. The NameVault™ DNS Appliance delivers extremely significant cost and time savings over its entire life. The Java®-based NameVault™ Management Console includes numerous automation features that substantially reduce labour costs for DNS configuration and maintenance. With the superior security, simplicity, and productivity that the NameVault™ DNS Appliance provides, it is the clear leader in providing the best DNS solution available.

Assumptions The following assumptions were used in conducting this financial analysis: 1. The basic design of the DNS setup has been planned, the names of all servers (DNS, Web, mail, databases, etc.) in the network have been collected, and all aliases have been defined in advance. 2. There are 700 resource records per server: 300 forward, 300 reverse, and 100 service-oriented records (NS, CNAME, etc.). 3. The hourly cost of an IT professional to conduct implementation, configuration, and maintenance is assumed to be $75/hr for Unix work, $50/hr for NT/2000 work, and $35/hr for the NameVault™ work. These hourly rates also incorporate employee benefits and company overhead costs. The higher Unix hourly IT cost reflects the higher demand and lower availability of Unix expertise in the market. The lower NameVault™ hourly IT cost reflects the lack of a need for an IT professional who is highly experienced with DNS work. As a result, a junior IT professional can be used for the implementation, configuration, and maintenance of the NameVault™ DNS Appliance. All amounts in this document are in US dollars. 4. No external consultants or professional experts are used for implementation, configuration, or maintenance procedures.

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Return On Investment

A Complete Appliance Based Solution Purchase Cost Comparison The following tables show purchase costs for individual Unix, NT/2000, and NameVault™ DNS Appliance, along with associated installation and setup costs. The Unix and NT/2000 server specifications and associated services were selected to provide comparable performance capabilities to those offered by the NameVault™. It should be noted that the NameVault™ Management Console is included with the purchase of the NameVault™ DNS Appliance. As outlined in the sections below, the Management Console automates numerous steps that need to be manually conducted with a Unix or NT/2000 solution. As a result, the purchase cost of the NameVault™ DNS Appliance buys more than just hardware, it buys a complete solution. On the other hand, the purchase costs in the tables below for Unix and NT/2000 servers only include hardware, while DNS setup work is conducted manually. Purchase Costs for Individual Unix, NT/2000/XP, and NameVault™ DNS Appliance.

Unix Server1 Item

Description

Server Box

Sun Microsystems Netra 120 Server

Operating System

Solaris 9 Operating System (Pre-Loaded)

Network Interface Adapter

Sun Fast Ethernet 10/100

$695

Warranty Upgrade

1 Year Warranty –SunSpectrum Silver

$372

Installation Service

ServerStart Installation Service

Total

Cost $4,583 $0

$2,250 $7,900

Windows ® NT/2000/XP Server2 Item

Description

Server Box

Dell PowerEdge 1750, 256 MB SDRAM w/out monitor

Operating System

Windows 2000 Advanced Server (Included)

Network Interface Adapter

Intel Pro 100

Warranty Upgrade

5 Pack Phone Support Contract from Microsoft

Installation Service

PowerEdge Server and NOS Installation

Total

© 2003 Borderware Technologies

Cost $2949 $0 $99 $1225 $669 $4942

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NameVault DNS Appliance3 Item

Description

Server Box

NameVault™ DNS Appliance – 1U Rackmount From BorderWare Technologies

Operating System

Hardened Linux OS, DNS Subsystem, Bind 9 (Pre-loaded)

$0

Network Interface Adapter

One 10/100 Base-TX Network Adapter (included)

$0

Warranty Upgrade

24 Hour Technical Support – 1 Year

Installation Service

Self-Installation, no service required

Total

Cost $9995

$2000 $0 $11,995

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Prices quoted from Sun Microsystems Website, September 22, 2003. Prices quoted from Dell Computer Corp. Website, September 22, 2003. 3 Price for support quoted from Microsoft Website, September. 22, 2003. 4 Prices offered by BorderWare Technologies, Inc., September. 22, 2003. 2

Although the initial purchase cost is typically higher than that for Unix or NT/2000 server, the subsequent costs of implementation, configuration, and maintenance for a Unix or NT/2000 server are higher, thus outweighing any purchase cost differences.

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Return On Investment

Implement and Configure Your DNS In Hours Implementation and Configuration Cost Comparison The following tables list the typical labour costs to implement and configure the DNS setup. Usually an IT professional must manually perform all of the tasks listed below for a Unix or NT/2000 server solution. As the third table shows, the NameVault™ Management Console software – allow you to complete the tasks in a fraction of the time. The NameVault™ Management Console automates numerous steps thus resulting in significant savings in labour costs. Implementation and Configuration Costs for Individual Unix, NT/2000, and NameVault™ DNS Appliance

Unix Server Task*

Time (Hours)

Cost

Installation of additional OS Packages

4

$300

OS Patches

3

$225

Download/Install C Compiler, download/compile/install BIND

1

$75

Create all configuration files, including DNS configuration files, DNS database files and some of the OS files.

40

$3,000

Start up DNS name daemon, check logs, post-configuration and trouble shooting

20

$1,500

Implement the entire security-related configuration / harden OS

20

$1,500

Complete error-checking tasks

34

$2,550

Total

122

$9,150

Time (Hours)

Cost

Setup the OS on the server

5

$250

OS Patches

3

$150

Configure DNS Service

1

$50

Create DNS Configuration Using MS DNS GUI

40

$2000

Start up DNS services, check logs, post-configuration and trouble shooting

20

$1000

Implement the entire security-related configuration

16

$800

Complete error-checking tasks

40

$2,000

Total

122

$6,250

Windows ® NT/2000/XP Server Task*

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NameVault™ DNS Appliance Task*

Time (Hours)

Cost

Installation the OS on the appliance

0

$0

Download, compile and install BIND

0

$0

Import or create configuration files, including DNS configuration files, DNS database files and some of the OS files.

5

$175

Start up the DNS name daemon and check the logs

2

$70

Implement the entire security-related configuration

0

$0

Complete error-checking tasks

0

$0

Total

7

$245

*Note: All tasks and associated times and costs are based on estimates developed by BorderWare Technologies Inc. Actual implementation and configuration times may vary.

The implementation and configuration time for a Unix or NT/2000 solution is significantly larger than that for the NameVault™ DNS Appliance. The implementation and configuration costs for a Unix solution are 37 times higher than those for a NameVault™ solution, while the NT/2000 solution costs are 25 times higher. In addition, the NameVault™ allows you to implement and configure your DNS in a matter of hours, not days.

Spend Less Time Maintaining DNS Maintenance Cost Comparison Performing DNS maintenance tasks on Unix and NT/2000 servers, as well as finding and resolving issues, can be very long and drawn-out processes due to the complexities of manual scripting. Conservatively, it is estimated that just to keep the OS and BIND software up-to-date would require a minimum of one 40-hour work-week each year. By contrast, the NameVault™ DNS Appliance performs these updates automatically. While junior IT staff can complete basic maintenance tasks for a DNS server, only a senior employee – being paid at a much higher hourly rate – can edit BIND configuration script files. The more complex a particular change is, the longer it will take the senior employee to complete it. Furthermore, editing a script that was created by someone else who is no longer with the company is very difficult and time-consuming, adding significantly to IT costs. The NameVault™ Management Console provides users with an easy to use interface; this means a user’s level of DNS expertise is no longer a factor and the side effects of scripting methods are removed all together. Records created by two different users look the same and there is no need for users to worry about formatting, updating serial numbers, and determining the required file structure. Multiple related servers, such as masters and their slaves, can be configured simultaneously using NameVault™’s one-to© 2003 Borderware Technologies

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Return On Investment

many methodology. This technique further decreases human error while increasing productivity. The following table’s list typical maintenance and error-resolution tasks that IT professionals perform for DNS on a yearly basis, along with estimates of the average time required to complete these jobs. Yearly Maintenance Costs for Individual Unix, NT/2000, and NameVault™ DNS Appliance

Unix Server Task* Maintenance Items

Configuration Changes

Tuning

Disaster Recovery

Security

Time (Hours)

Cost

Install OS updates/patches (1/month)

22

$1,650

Install BIND updates/patches (5/year)

10

$750

Test/verify system after changes

20

$1,500

Add new domains or sub-domains (Web, mail, internal, network) (1/2 hour per week)

26

$1,950

Change IP (new ISP, IP Block changes)

4

$300

Change hardware (replacement equipment, new equipment, deployment changes) and maintenance (2 hours per month)

24

$1,800

Test and verify system after changes

80

$6,000

Test performance (speed, load balancing, caching, performance, troubleshooting)

16

$1,200

Test and verify system after changes

60

$4,500

Import DNS.DB file/configuration settings

16

$1,200

Configure fault fail-over (master-slave availability)

16

$1,200

Documentation/report knowledge transfer

24

$1,800

Open ports

16

$1,200

Prevent DOS/DNS Attacks

16

$1,200

Security Breach – DNS re-analysis/re-configuration (1/year)

20

$1,500

370

$27,750

Total

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Return On Investment

Windows ® NT/2000/XP Server Task* Maintenance Items

Configuration Changes

Tuning

Disaster Recovery

Security

Time (Hours)

Cost

Install OS updates/patches (2/month)

24

$1,200

Install BIND updates/patches (1/year)

2

$100

Test/verify system after changes

24

$1,200

Add new domains or sub-domains (Web, mail, internal, network) (1/2 hour per week)

26

$1,300

Change IP (new ISP, IP Block changes)

2

$100

Change hardware (replacement equipment, new equipment, deployment changes) and maintenance (2 hours per month)

16

$800

Test and verify system after changes

80

$4,000

Test performance (speed, load balancing, caching, performance, troubleshooting)

16

$800

Test and verify system after changes

60

$3000

Import DNS.DB file/configuration settings

8

$400

Configure fault fail-over (master-slave availability)

32

$1,600

Documentation/report knowledge transfer

24

$1,200

Open ports (need additional software)

16

$800

Prevent DOS/DNS Attacks

16

$800

Security Breach – DNS re-analysis/re-configuration (4/ year - 20 hr to repair each)

80

$4,000

426

$21,300

Total

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Return On Investment

NameVault™ DNS Appliance Task*

Time (Hours)

Cost

Maintenance Items

Install Client/configure server

1

$35

Configuration Changes

Add new domains or sub-domains (Web, mail, internal network)

16

$560

Change IP (new ISP, IP Block Changes)

1

$35

Change hardware (replacement equipment, new equipment, deployment changes)

16

$560

Test and verify system after changes

2

$70

Test performance (speed, load balancing, caching performance, troubleshooting)

2

$70

Test and verify system after changes

3

$105

Import DNS. DB file/configuration settings

2

$70

Configure fault fail-over (master-slave availability)

1

$35

Document/report knowledge transfer

2

$70

Open ports

0

$0

Prevent DOS/DNS attacks

0

$0

46

$1,610

Tuning

Disaster Recovery

Security

Total

*Note: All tasks and associated times and costs are based on estimates developed by BorderWare Technologies. Actual implementation and configuration times may vary.

NameVault™ DNS Appliance has lower costs compared to a Unix or NT/2000 solution. As indicated in the tables above, yearly maintenance for the NameVault™ DNS Appliance is only US$1,610 or more than 13 times cheaper compared to a Unix or NT/2000 server. Maintenance on a NameVault™ DNS Appliance would take more than 8 times less time than it would for a Unix or NT/2000 server thus increasing IT staff productivity. The combined savings that can be realized through the NameVault™ that are derived through reduced implementation, configuration, and maintenance times are clearly seen in the following total cost of ownership calculation.

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Return On Investment

An Unmistakably Cost Effective Solution Total Cost of Ownership Comparison Based on the above purchase, implementation, configuration, and maintenance costs, the total cost of ownership is calculated below over a five-year period. As shown in the chart below, the total cost of ownership is highest in the first year for all three cases due to one-time hardware, configuration, and implementation costs. Aside from these onetime costs, maintenance costs remain constant through the ownership cycle.

Total Cost of Ownership Comparison $50,000 $40,000 Unix

$30,000

NT/2000

$20,000

NameVault™

$10,000 $1

2

3

4

5

Year

The total cost of ownership chart above clearly identifies NameVault™ as the most cost effective choice for managing domain name services. NameVault™’s first year cost is far lower than a Unix or NT/2000 solution. Subsequent years running a NameVault™ DNS Appliance also show substantial cost savings when compared to a Unix or NT/2000 solution. In the first year of ownership, the NameVault™ DNS Appliance’s total cost is less than half of the total cost for a Unix or NT/2000 solution. During the following four years, the NameVault™ DNS Appliance’s total costs are a mere fraction, less than 8%, of a Unix or NT/2000 solution’s total cost.

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Return On Investment

More Than Just A Financially Sound Investment The NameVault™ DNS Appliance is more than just a financially sound investment in your DNS. The NameVault™ provides a staggering amount of value to your company. The following calculations are based on the savings produced over the same five-year period utilized in the total cost of ownership calculation at a weighted average cost of capital (WACC) of 13%.

Return On Investment Based on the savings that NameVault™ offers when compared to a Unix or NT/2000 solution, the ROI is an unbelievable 548% and 386%, respectively over a period of five years.

Average ROI - Per Year

ROI - 5 Year Term

NameVault™ vs Unix

110%

548%

NameVault™ vs NT/2000

77%

386%

Net Present Value & Payback Period The savings made possible by the NameVault™ DNS Appliance provide a very high net present values (NPV). With NPV values of $79,248 and $50,704 when compared to a Unix and NT/2000 solution, respectively, it is no wonder why so many large and small businesses choose the NameVault™ DNS Appliance for their DNS needs.

NPV – 5 Year Term

Payback Period (Years)

NameVault™ vs Unix

$79,248

0.29

NameVault™ vs NT/2000

$50,704

0.71

The NameVault™ DNS Appliance is a low risk investment, since its cost can be recuperated in less than one year’s time. With a payback period as low as 0.29 years (approx. 3 ½ months), the decision to select the NameVault™ DNS Appliance is obvious. The NameVault™ DNS Appliance also provides a more secure option than Unix or NT/2000 servers. Unix or NT/2000 servers typically run other utilities in addition to DNS, while the NameVault™ DNS Appliance does not. The NameVault™ DNS Appliance is a dedicated secure appliance that acts only to manage the critical operation of your DNS.

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Return On Investment

The NameVault™ also has a built-in firewall that protects against unauthorized attempts to enter the system. The firewall by default drops packets that are not DNS, or client communication, related. ICMP traffic by default is disabled, thus preventing ICMP attacks from would-be hackers. The firewall offers protection seen in network firewall appliances, like the Cisco Pix, costing thousands of dollars. The NameVault™ DNS Appliance is an extremely safe product, both technologically and financially. As one can see, the NameVault™ DNS Appliance revolutionizes the way DNS is handled by reducing the amount of time and money spent on DNS and by providing an extremely high level of security.

To find out more about the NameVault™ DNS Appliance visit www.re-soft.com

To speak with a ReSoft Representative, Call 203 972 8462

The Security Appliances Company

© 2003 Borderware Technologies

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