1. The Financials of the IETF Current situation and the future Harald Alvestrand IETF Chair

2. IETF financing sources Two sources of income: –ISOC Pays for RFC Editor, insurance & some other expenses – in the range of USD 700-800K/year –Meeting fees Pays for the meetings and the secretariat The work of the IANA, the IESG, the IAB and the IETF members is not paid for through the IETF process

3. Secretariat Numbers for 2002 Note: These numbers are UNAUDITED! This does not include ISOC money

4. The reasons for changes Added two people to secretariat staff Yokohama was expensive to run –In general, non-US costs more (Japan is expensive, London was even more so) Fewer people at the meetings –2001: 6172 attendees –2002: 5158 attendees

5. The Number of Attendees

6. Predicting The Future Assume that we can get by with present staff & expenses (no more assistance needed) Assume that we get 1600 attendees per meeting (slight increase for future years) Assume that fees stay at USD 450, with the same number of latecomers Assume no new income Ignore inflation

7. This is not looking good. Based on more detailed secretariat budgets. Labor and indirect costs have been distributed appropriately between ”Mtg” and ”Other”. The Likely Projection

8. Doing Something About It (1) Reduce expenses –Cut the cookies and pay for the meeting rooms. No cigar. –Meet in less expensive places –Shift more work from ”professional” to ”voluntary” –Do work more efficiently –Cut the terminals (already done) Note: Sometimes lowering central meeting costs increases attendee costs, or vice versa.

9. Doing Something About It (2) Increase income –Raise the meeting fees –Make more people pay fees Not necessarily at the IETF meetings –Ask ISOC for more money –Get more sponsors for the meetings ”this cookie is brought to you by Acme Corp.” –Do other activites that people are willing to pay for –Make the IETF an industry consortium

10. Playing with numbers This is a simplified spreadsheet Meeting fee increase needed: USD 70 Attendee increase needed: 300/meeting

11. How should we decide? The IETF community needs to decide what’s important to it The IETF Chair needs to instruct the secretariat on what to do We need to act deliberately. But soon.