Virtual Private Networks

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Virtual Private Networks (VPNs)

A virtual private network (VPN) is a private data network that uses public telecommunication infrastructure. More precisely, it is a communications network tunneled through another network (usually the Internet) to provide certain functions that are meaningful to its users on the dedicated network.[R1]

The phenomenon caused by VPN technology has caused a huge stir in both the computer science field in the business world.[R2]

Contents

VPNs

Since there are many competing definitions for VPN, one possible broad definition could be:

'A network (or service) that emulates the properties of an actual private network using a shared public networking infrastructure.'


History

During the 1980s ATM technology and a suite of protocols known as X.25 were created for intended use in both local area and wide area networks. It can be argued that X.25, the oldest packet-switched service, was the forerunner of VPNs because of its prominent role in the telecommunication and financial industry during that period. Phone companies originally intended its use to carry digitized voice calls, but their importance in data networks was soon realized. An X-25 network consists of complex packet switches that route packets and hosts would attach to a packet switch using a serial communication line instead of attaching directly to a communication wire of a network. The result is a connection between the host and the X.25 packet switch which is now a miniature network consisting of one serial link. Before the Internet exploded onto the scene, a virtual private network consists of at least one circuit leased from a communications provider. Each leased circuit was a like a single wire in a network controlled by the customer. As companies grew beyond geographical limitations, it became expensive to maintain VPNs using leased circuits and with the rapid advancement of the Internet, it was inevitable that VPN technology would try and exploit it.

VPN Today

Why VPN?

Why would an organization choose to have a VPN? These are the main reasons.

1. No geographical limitations: This results directly in increased productivity of its employees who are now capable of working and accessing resources offsite and a potential increase in revenue due to increased productivity.

2. Improved security: Higher security due to separation of traffic.

3. Reduced costs: It is cheaper to maintain than WANs and reduces transportation/communication costs.

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