In-House Solution

In-house Solution for 250 Users		Startup Costs
Server (at least one) - Rack Mount - Redundant Hardware		$6,000
Email software - MS Exchange with Licenses for 250 Users		$9,000
Compliant Email Archive Appliance ($2,999 - $15,000)		$8,000
Email Anti-Spam/Anti-Virus Appliance		$2,000
Technician to Maintain ($40,000 - $70,000)		$50,000
Erate Eligible Portion ($25,000) @ 48% (example)		($12,000.00)
NON-ERATE Eligible Portion		$50,000
Total First Year Startup Costs		$63,000
On-going Costs for In-house Solution		On-going Costs
Software assurance and software maintenance.  Approximately 20%		$4,500
Technician Costs + 1.5 - 3% per year (2.25%)		$51,250
Hardware Maintenance (electrical, physical)		$1,000
Total On-going Costs for In-house Solution		$56,750

Labor makes up approximately two-thirds of small school messaging costs and those IT personnel attending the messaging infrastructure represent lost productivity in other IT areas. There are also upgrades to both hardware and software, training, and maintenance. In fact, the real costs of in-house messaging are significantly higher for small and medium sized schools than for large schools — and typically run significantly higher than an remote hosted solution.

Now look at a hosted solution from NetStream using a 3 year education plan for 250 users with compliant email archiving as an example.  This is just one possible combination of quantities.

Hosted Solution from NetStream for 250 Users		Startup Costs
Initial Hardware and Software Costs		$0.00
On-going Charges for Three Year Hosting Plan		On-going Charges
Best Hosted Email Solution Package ($56.04 per mailbox per year)
Includes:
Web Mail (OWA) Service for 250 Users		$4,380.00
Outlook Desktop Mail for 250 Users		$8,190.00
Anti-Spam/Anti-Virus Service (250 Users)		Included
NetStream Compliant Email Archiving/Storage for 250 Users		$1,440.00
Total Hosted Solution for 250 Users for 3 Years		$42,030
This is an E-RATE Eligible Service from NetStream - 30-75% (48%)		($20174.40)
Total Hosted 3 Year Email Solution with E-rate Applied		$21,855.60
Total Payable Annually		$7285.20

Here is a comparison year by year.

Solutions	Year 1	Year 2	Year 3
In-house Solution	$63,000	56,750	$57,903
Hosted Solution from NetStream	$7,285	$7,285	$7,285
Your Annual Savings	Save $55,715	Save $49,465	Save $50,618

 

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