Tuesday, December 6, 2011

Relevance Of A MPLS Network To A Business



Excelling in the business sector is becoming harder and harder each day. May it be due to the global financial crisis, stiff competition, unavailability of funds or any one of the many other factors that negatively influence business firms; these firms are finding that they have to give up old ways of doing things and adapt the new. One of the ways a company can do this is by utilizing a MPLS network.


MPLS stand for Multiprotocol Label Switching. This is a technique applied in control of transmission of data from one system node to another in telecommunication networks. Unlike other forms of transmission, this method uses short path labels in place of long network addresses thereby avoiding complicated lookup processes. The labels identify virtual paths between nodes instead of endpoints.

Through multiprotocol label switching, a company effectively integrates all its branch networks into one. This concept is paramount in ensuring that information in a company is held at a central location. This enables easier and faster access to the information by various departments upon requirement, translating into better production.


MPLS Virtual Private Networks (VPNs) link two or more computers in a system while ensuring the protection from unauthorized access and loss. VPNs achieve this by allocating each packet of data a unique label for identification which is never revealed in the course of transmission. In case of loss of a data travel path, VPNs enable the system to reroute the packet.

The current economic retardation has forced a lot of business firms to minimize on their spending. However, the managers cannot compromise the quality of goods and services. MPLS helps reduce expenditure on new infrastructure since it provides all communication services over one connection. These networks are also easy and affordable to maintain, that is, adding or removing a site from the network structure. The spared resources can be used to purchase other investments.


Transmission of video and VoIP over a network requires up to ten times more packets than normal data. Video quality also degrades at a faster rate than VoIP, with both being vulnerable to latency when under transmission. Ordinary networks provide the same priority to all types of data under transfer. However, when using a multiprotocol label switching VPN, classes of service (CoS) can be customized to lower priority path for normal data and high priority and shorter paths when transmitting voice and video packets. This reduces network-latency; hence a company can provide better voice and video services.


Linking all departments in an organization via one network reduces data redundancy. Using this method, a company can cut its Wide Area Network (WAN) costs by up to 50% without sacrificing on the quality of connections. This connection also enhances supervision on the activities taking place all along the system. Use of such an approach makes generation of financial records easy; not forgetting that information is available to everyone connected to the system thus enhancing sharing of resources.

A MPLS system comes with many benefits to a company which is essential if any business is to advance. This approach enables clear, safe and fast communication between different departments. This system is more flexible with other technologies due to its high adaptability. This results in a better overall performance and reduction in costs which help companies gain more profit.

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