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MPLS vs SD-WAN

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As businesses move to SaaS applications and distributed cloud services, IT leaders are rapidly replacing inflexible legacy technologies like MPLS with new SD-WAN (Software Defined Wide Area Network) solutions.
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9 min read

What is MPLS? link link

MPLS stands for Multiprotocol Label Switching. It is a data-carrying networking technique used in high-performance telecommunications networks that directs traffic flow across the network. MPLS works by attaching labels to packets that contain information based on predefined paths created by the MPLS network administrator. MPLS was designed to provide faster routing than traditional IP-based routing and support carrying multiple protocols.

The history of MPLS dates back to the 1990s when service providers were building complex ATM and Frame Relay networks that used different access technologies. MPLS was designed to standardize and simplify integration across multiple services, and MPLS networks have been deployed globally by enterprises to connect remote offices and data centers since MPLS provides predictable traffic routing, quality of service management, and reliability. However, even as reliance on cloud services increases, MPLS networks lack the scalability and agility that emerging SD-WAN platforms can provide.

 

MPLS stands for Multiprotocol Label Switching. It is a data-carrying networking technique used in high-performance telecommunications networks that directs traffic flow across the network.

How does MPLS work? link link

How MPLS networks work:

  • MPLS labels packets with identifiers that specify the forwarding path through the network
  • Routers make forwarding decisions based solely on the label, increasing performance
  • Labels get attached when packets enter the MPLS network and removed at the exit
  • MPLS establishes Label Switched Paths (LSPs) which are predetermined virtual circuits
  • Traffic engineering manages bandwidth utilization over LSPs

MPLS increases routing speed and reliability by establishing fixed paths for packets to traverse the core network. When connections enter an MPLS network, edge routers analyze IP headers and assign a label containing the next hop. Intermediate MPLS routers swap this label for a new one based on a simple table lookup rather than deep packet inspection. Labels get stripped when exiting the MPLS cloud. This allows packets on established Label Switched Paths to bypass complex routing algorithms. Network administrators carefully engineer LSPs and fine-tune bandwidth allocation over links. MPLS also natively supports VPN services for security and traffic isolation. The dedicated infrastructure enables strong SLAs for critical traffic like VoIP, but lacks agility. MPLS networks are being replaced by SD-WAN solutions better suited for cloud connectivity.

 

MPLS advantages

MPLS networks have historically provided significant advantages for enterprise WAN connectivity including:

  • Predictable performance through traffic engineering
  • Ability to optimize routing for speed and reliability
  • Quality of service and priority mechanisms
  • Support for service level agreements (SLAs)
  • Native security and traffic isolation capabilities
  • Traffic management and monitoring capabilities
  • Reliability with redundant links and hardware
  • Scalability across global networks
  • Guaranteed bandwidth utilization over dedicated circuits
  • Converged voice, data, and video services

In the past, these capabilities made MPLS an ideal choice connecting key sites across the enterprise. MPLS offers tight control over routing and traffic which enables strict SLAs. However, increasing public cloud usage and hybrid network requirements are exposing drawbacks of MPLS in flexibility, automation, and cost. This has accelerated adoption of SD-WAN as the next generation enterprise WAN architecture.

 

MPLS disadvantages

Though MPLS has been a core enterprise WAN technology for years, it has some distinct disadvantages in today’s cloud-first world including:

  • Expensive – MPLS circuits have high fixed costs and require proprietary hardware
  • Limited agility and scalability due to static configurations
  • Lack of integration and optimization for internet and SaaS traffic
  • Limited redundancy options and resiliency capabilities
  • Introduces vendor lock-in scenarios limiting architectural options
  • No native load balancing across multiple links
  • Weak support for mobile and temporary sites due to hardware dependence
  • Cannot leverage lower-cost public broadband links effectively
  • Lacks deep application visibility of modern traffic

While MPLS offers reliability and performance guarantees, the technology is rigid concerning change management and adapting to new network requirements. As enterprises embrace SaaS apps, IaaS platforms, and hybrid cloud connectivity; MPLS WANs impede architectures rather than enable digital transformation. This has fueled strong interest in SD-WAN solutions.

 

MPLS increases routing speed and reliability by establishing fixed paths for packets to traverse the core network.

How does SD-WAN differ from MPLS? link link

SD-WAN (Software-Defined Wide Area Networking) represents a shift from relying on costly, inflexible MPLS circuits to an intelligent software overlay that can leverage any transport – including broadband internet and LTE. Rather than backhauling traffic via MPLS to centralized hubs before reaching branch internet breakouts, SD-WAN routes traffic dynamically based on context like user, device, application, and network conditions. This allows organizations to transition from legacy MPLS and its fixed topology to an agile, cloud-centric WAN architecture.

SD-WAN platforms bring automation, visibility, and centralized orchestration across network endpoints. Unlike MPLS, SD-WAN can dynamically aggregate multiple links for increased bandwidth and resiliency. Optimized traffic steering and security policies are implemented in the cloud versus needing manual configuration. SD-WAN solutions simplify operations and lower costs by enabling direct internet access from branches instead of hairpinning traffic through regional hubs.

The first step in migrating from MPLS is deploying SD-WAN gateways across branches to leverage cheap broadband links. Traffic is selectively routed via the old MPLS core and the new SD-WAN fabric based on priority until MPLS circuits can be phased out over 12-24 months. This staged approach maintains critical applications on legacy networks while evaluating SD-WAN capabilities.

Netskope offers a leading SD-WAN solution that helps enterprises adopt a cloud-first networking strategy. The Netskope SD-WAN platform integrates advanced traffic steering capabilities with industry-leading security using the unique NewEdge network. This allows customers to securely and reliably access critical cloud services and private applications over any combination of transport mechanisms.


Solution: Netskope Borderless SD-WAN
Security Defined: What is SD-WAN?


 

Can SD-WAN Replace MPLS?

Yes, SD-WAN can replace MPLS as the primary enterprise WAN architecture. SD-WAN platforms offer a modern software-defined approach to connect users to applications with agility, performance, visibility and cost savings.

A key driver for SD-WAN is facilitating cloud adoption. Unlike rigid MPLS networks, SD-WANs efficiently route traffic to IaaS and SaaS platforms based on real-time conditions. This includes steering traffic between cheaper broadband links and legacy networks. SD-WAN also centralizes management and monitoring with much greater visibility into apps, users, and behavior analytics.

Additionally, SD-WAN offers advanced security inheriting web gateway, firewall, and zero-trust capabilities. SD-WAN provides an integrated Secure Access Service Edge to enforce compliance and safeguard data. This reduces reliance on physical DMZ appliances. SD-WAN platforms have native encryption, microsegmentation and identity-ba