
A virtual private network (VPN) encapsulates the data transfers between two or more networked devices not on the same private network so as to keep the transferred data private from other devices on one or more intervening local or wide area networks. There are many different types of classifications, implementations, and uses for VPNs.
Routing
Tunneling protocols can be used in a point-to-point topology that would have theoretically not be considered a VPN, because a VPN by definition is expected to support arbitrary and changing sets of network nodes. But since most of the router implementations support software-defined tunnel interface, customer-provisioned VPNs often are simply defined tunnels running conventional routing protocols.
On the other hand provider-provided VPNs (PPVPNs), need to support coexisting multiple VPNs, hidden from one another, but operated by the same service provider.
Customer edge device. (CE)
a device at the customer premises, that provides access to the PPVPN. Sometimes it's just a demarcation point between the provider and customer responsibility. Other providers allow customers to configure it.
Provider edge device (PE)
A PE is a device, or set of devices, at the edge of the provider network, that presents the provider's view of the customer site. PEs are aware of the VPNs that connect through them, and maintain VPN state.
Provider device (P)
A P device operates inside the provider's core network, and does not directly interface to any customer endpoint. It might, for example, provide routing for many provider-operated tunnels that belong to different customers' PPVPNs.
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