NSF, which interpreted the enormous tempo and the commercial significance of the internets’ growth correctly, tendered a project for the remodelling and organisation of the NSFNET in June.
NSFNET
During the course of the project a higher bit rate was envisioned to be implemented in the networks’ backbone, which consisted of several supercomputers. Furthermore, the organisation that accepted the project was supposed to manage the NSFNET in the future and offer informational services to the connected networks. In July a consortium consisting of employees from Merit Network Inc, IBM, MCI and Michigan Strategic Fund came together. They worked out a plan for the realization of the tendered project until August.
The scheme from Merit Network Inc. was one of six proposals the NSF received. On November 24 Merit Network Inc. and its consortium was awarded the contract by NSF. This 39 million dollar contract was signed by both sides on the same day and Merit Network Inc. immediately started with their development.