MPLS & SD-WAN:

Multiprotocol Label Switching (MPLS) and Software-Defined Wide Area Networks (SD-WANs)
are two methods for connecting corporate branch offices. SD-WANs are usually cheaper and
more flexible, but MPLS also offers some advantages. To understand the differences between
Software-Defined connections and MPLS connections, consider the difference between a
Railroad Service and a Passenger Bus Line.

MPLS Analogy:
Railroads have specialized routes set up via train tracks, and only trains that belong to the
railroad can use the tracks. Because trains can stay on these tracks and often do not have to
stop until they reach their destination, train transport is fairly fast and reliable.
However, railroads require a significant upfront investment to build the specialized routes the
train tracks that the vehicles require. A massive rush in passengers or cargo may exceed the
railroad's capacity, because only a certain number of trains can use the tracks at once. And if
the railroad wishes to add more routes, it must build more track which requires obtaining
permits, negotiating with property owners, and expensive track construction. While a railroad
line may be direct, it costs a lot to build and is not very flexible.

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SD-WAN Analogy:
On the other hand, a bus line travels across a massive network of roads that also serve many
other types of vehicles. Buses operated by the line do not have to take the same route to their
destination every time; they can route around areas of heavy traffic or add more stops as
needed. Carrying more passengers is easy: the bus line can simply use more buses, since there
is no defined limit to how many buses can be on the road at a given time.
Because traffic can vary so much, bus travel time can vary. And because the roads were not
specifically constructed to serve the needs of the bus line, routes are less direct than those of
the railroad service. However, if the line wants to offer more routes, it does not need to build
new roads; it only needs to purchase more buses, and it can add routes over preexisting roads.
The bus line is less direct than the railroad service, but it costs less to operate & is more flexible.

Like railroad tracks, MPLS connections are dedicated only to the users of those connections.
They are more direct and more reliable than the public Internet. However, they require the
purchasing of expensive hardware similar to the laying of railroad tracks, and their routes
cannot change very easily. Meanwhile, SD-WANs are built on existing paths the public Internet
and can easily increase their routes and the number of users served, like the bus line.

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Multiprotocol Label Switching (MPLS) is a transport protocol used in traditional networking to
move data packets to a destination as quickly and efficiently as possible. Organizations must
install physical MPLS circuits at sites where they want to facilitate the exchange of data. For
example, an enterprise could have MPLS circuits installed at a remote branch office and at a
corporate data center that users in that branch location need to access. MPLS is known for its
reliability and performance where data travels along predetermined paths. But as organizations
move to the cloud, they require a more flexible and cost-effective approach to network
connectivity to ensure an optimal user experience.

Software-defined wide-area networking (SD-WAN) is a software-based approach to managing

the WAN. SD-WAN provides similar performance and reliability to a dedicated MPLS circuit.
However, it accomplishes this by aggregating various transport media and optimizing traffic
routing rather than relying upon predefined, dedicated links. Compared to Multiprotocol Label
Switching (MPLS), Software-defined Wide Area Networks (SD-WAN) can be less expensive,
more secure, and provide higher performance. SD-WAN is a collection of technologies,
packaged together with a nice GUI that make managing VPN connectivity between remote
locations much easier.

For many businesses, MPLS remains a relevant and efficient solution for network connectivity.
The differences between the SD-WAN and MPLS approaches to network connectivity can have
a significant impact on the cost and flexibility of an organization’s WAN. SD-WAN can use
relatively low-cost network links for most traffic while saving higher-performance, more
reliable, and higher options such as MPLS circuits for application traffic that requires this. This
enables an organization to optimize its networking investment rather than wasting costly MPLS
bandwidth on low-priority applications. SD-WAN also increases the flexibility of an
organization’s WAN compared to MPLS by removing the limitations of MPLS circuits. The ability
to use any transport medium enables bandwidth to be expanded at need without the delays
associated with MPLS circuit provisioning. Optimized routing enables traffic to be sent
efficiently to its destination, not limited to the predefined MPLS circuit paths. Support for
broadband Internet and mobile networks enables SD-WAN traffic to be routed anywhere, not
only where an MPLS provider is available.

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