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Thursday, August 28, 2008 
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Network Based Layer 3 IP VPN:
Better network performance and resiliency with support for voice, video and future applications – all at lower costs

An XO Communications White Paper

www.xo.com

Abstract
While there are a number of ways enterprises can implement IP VPNs, this paper describes the advantages
of network-based Layer 3 IP VPNs. Often regarded as the outsourcing solution to an organization’s data transport needs, the primary attribute of these IP VPNs – also known as “2547” VPNs – is that the service provider takes responsibility for all of the routing. They are called network-based because they implement the technology of Multiprotocol Label Switching (MPLS) over a service provider’s IP infrastructure. The result provides what is effectively a private network for each VPN customer that is logically separate from the public Internet.

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