On April 15, while millions of us will be focused on our income tax returns, Federal agencies must submit plans to beef up network security by reducing the number of Internet portals by a factor of 80. It will be interesting to see if the same habit of waiting until the last minute to file will create new dynamics and opportunities for providing Internet Services.

OMB's Trusted Internet Connection (TIC) program seeks to better defend government networks from attack by reducing these gateways to 50 from an estimated 4,000. Limiting the gateways will allow DHS US-CERT's Einstein system to more effectively enforce network security and prevent intrusions. Some critics oppose the plan as too ambitious and too constraining, but the Department of Defense (which is exempt from TIC) has already proven the feasibility of the concept by reducing its Internet portals to 15 from 60.

According to OMB guidance released earlier this month, department and agencies can choose one of three paths. They can choose to be a "Single Service Provider" and hope that OMB agrees that they deserve one or more of the 50 slots to provide connections only for their agency's needs. Or, they can propose to be a seller of services to themselves and others (a "Multi Service Provider") or simply a buyer of services ("Seeking Service").

While improving security, this plan does regulate the number of Federal ISP's. Expectations are that many smaller agencies will fit or be squeezed into the seeking service category. However, the burden is on the agencies to prove their capability to provide services if they choose the single service or multi service options, and the paperwork is much more onerous. Given the aggressive deadline, some agencies may choose to file TIC's version of the 1040EZ and wait to see what happens. OMB will likely face a difficult task in deciding who gets connections. And, bigger agencies -- and the vendors that support them -- may soon be evaluting their approach to the ISP business.