MPLS (Multiprotocol Label Switching) is a fast and inexpensive way to transport data through an Internet access technology like a T3 Line. It is a forward-only packet technology used in global telecommunications. MPLS uses label identifiers instead of IP and short routing addresses so they can share sites while being invisible to other VPNs. MPLS allows multiple VPNs within shared lines, which can dramtically drop costs associated with VPNs.
MPLS VPNs are VPNs created using a MPLS Backbone. There are three types of service: Point to Point, Layer 2, and Layer 3. A MPLS Point to Point VPN uses Virtual Leased Lines (VLL). A Layer 2 MPLS VPN, also called a VPLS (Virtual Private LAN Service), uses a cloud switcher to give access to a VLAN (Virtual Land Area Network) . A Layer 3 MPLS VPN is a Virtual Private Routed Network (VPRN) with an high level of privacy and security.
MPLS can drop the cost of data transmission in area network by increasing the speed at which data is transmitted. It avoids long addresses in a network thereby decreasing the amount of time it takes external database tables to read the address and direct the data. It does this with short routing addresses designed just to get from one network node to another.
Many technologies, e.g. Frame Relay, run slow through a WAN (Wide Area Network), MPLS over Ethernet service is the time-tested and dependable champion WAN racer. MPLS is also more reliable than Frame Relay, easier to manage, and less expensive.