|  | 1.4 | Basic Networking Terminology
| 1.4.2 | Data networks

[Place the cursor of your mouse over the numbers in the animation to the left to view different stages in the evolution of networking.] Data networks came about as a result of computer applications that had been written for businesses. . However, at the time when these applications were written, businesses owned computers that were standalone devices and each one operated on its own, independent from any other computers. Therefore, it became apparent that this was not an efficient or cost effective manner in which to operate businesses. They needed a solution that would successfully address the following three questions:

1. how to avoid duplication of equipment and resources
2. how to communicate efficiently
3. how to set up and manage a network

Businesses recognized how much money they could save and how much productivity they could gain by using networking technology. They started adding networks and expanding existing networks almost as rapidly as new network technologies and products were introduced. As a result, the early 1980s saw a tremendous expansion in networking and however, the early development of networks was chaotic in many ways.

By the mid-1980s, growing pains were felt. Many of the network technologies that had emerged had been created with a variety of different hardware and software implementations. Consequently, many of the new network technologies were incompatible with each other. It became increasingly difficult for networks that used different specifications to communicate with each other.

One early solution to these problems was the creation of local area networks (LANs). Because they could connect all of the workstations, peripherals, terminals, and other devices in a single building, LANs made it possible for businesses using computer technology to efficiently share such things as files and printers.

As the use of computers in businesses grew, it soon became obvious that even LANs were not sufficient. In a LAN system, each department or company is a kind of electronic island.

What was needed was a way for information to move efficiently and quickly, not only within a company, but from one business to another. The solution, then, was the creation of the metropolitan area networks (MANs) and wide area networks (WANs). Because WANs could connect user networks over large geographic areas, they made it possible for businesses to communicate with each other across great distances.