diff --git a/server/src/com/cloud/configuration/ConfigurationManagerImpl.java b/server/src/com/cloud/configuration/ConfigurationManagerImpl.java
index 14edc072ac6..2b66035fb39 100755
--- a/server/src/com/cloud/configuration/ConfigurationManagerImpl.java
+++ b/server/src/com/cloud/configuration/ConfigurationManagerImpl.java
@@ -2589,8 +2589,6 @@ public class ConfigurationManagerImpl implements ConfigurationManager, Configura
         }
     }
     
-    
-    
     @Override
     public NetworkOffering updateNetworkOffering(UpdateNetworkOfferingCmd cmd) {
         String displayText = cmd.getDisplayText();
@@ -2600,10 +2598,15 @@ public class ConfigurationManagerImpl implements ConfigurationManager, Configura
         Availability availability = null;
         
         // Verify input parameters
-        NetworkOfferingVO offeringHandle = _networkOfferingDao.findById(id);
-        if (offeringHandle == null) {
+        NetworkOfferingVO offeringToUpdate = _networkOfferingDao.findById(id);
+        if (offeringToUpdate == null) {
             throw new InvalidParameterValueException("unable to find network offering " + id);
         }
+        
+        //Don't allow to update system network offering
+        if (offeringToUpdate.isSystemOnly()) {
+            throw new InvalidParameterValueException("Can't update system network offerings");
+        }
 
         NetworkOfferingVO offering = _networkOfferingDao.createForUpdate(id);
 
diff --git a/server/src/com/cloud/network/NetworkManagerImpl.java b/server/src/com/cloud/network/NetworkManagerImpl.java
index 8e68d5a5049..b7999002652 100755
--- a/server/src/com/cloud/network/NetworkManagerImpl.java
+++ b/server/src/com/cloud/network/NetworkManagerImpl.java
@@ -721,7 +721,7 @@ public class NetworkManagerImpl implements NetworkManager, NetworkService, Manag
                 null, 
                 null, 
                 true, 
-                Availability.Required, 
+                Availability.Optional, 
                 //services - all true except for firewall/lb/vpn and gateway services
                 true, true, true, false, false,false, false, GuestIpType.Direct);
         defaultGuestDirectNetworkOffering = _networkOfferingDao.persistDefaultNetworkOffering(defaultGuestDirectNetworkOffering);