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AMVS

Advanced MPLS

VPN Solutions

Volume 1

Version 1.0

Student Guide

Text Part Number: 97-0624-01

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Advanced MPLS VPN Solutions, Revision 1.0: Student Guide Copyright  2000, Cisco Systems, Inc.

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Copyright  2000, Cisco Systems, Inc. Advanced MPLS VPN Solutions v

Table of Contents

Volume 1

ADVANCED MPLS VPN SOLUTIONS 1-1 Overview 1-1 Course Objectives 1-2

Course Objectives – Implementation 1-3 Course Objectives – Solutions 1-4

Prerequisites 1-5 Participant Role 1-7 General Administration 1-9 Sources of Information 1-10 MPLS VPN TECHNOLOGY 2-1 Overview 2-1 Objectives 2-1

Introduction to Virtual Private Networks 2-2

Objectives 2-2

Summary 2-8

Review Questions 2-8

Overlay and Peer-to-Peer VPN 2-9

Objectives 2-9 Overlay VPN Implementations 2-13 Summary 2-23 Review Questions 2-24 Major VPN Topologies 2-25 Objectives 2-25 VPN Categorizations 2-25 Summary 2-38 Review Questions 2-38 MPLS VPN Architecture 2-39 Objectives 2-39 Summary 2-60 Review Questions 2-61 MPLS VPN Routing Model 2-62 Objectives 2-62 Summary 2-78 Review Questions 2-78 MPLS VPN Packet Forwarding 2-79 Objectives 2-79 Summary 2-91 Review Questions 2-91 Lesson Summary 2-92

Answers to Review Questions 2-93

Introduction to Virtual Private Networks 2-93 Overlay and Peer-to-Peer VPN 2-93

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Major VPN Topologies 2-94

MPLS VPN Architecture 2-94

MPLS VPN Routing Model 2-95

MPLS VPN Packet Forwarding 2-96

MPLS/VPN CONFIGURATION ON IOS PLATFORMS 3-1

Overview 3-1

Objectives 3-1

MPLS/VPN Mechanisms in Cisco IOS 3-2

Objectives 3-2

Summary 3-16

Review Questions 3-16

Configuring Virtual Routing and Forwarding Table 3-17

Objectives 3-17

Summary 3-26

Review Questions 3-26

Configuring a Multi-Protocol BGP Session Between the PE Routers 3-27

Objectives 3-27

Summary 3-43

Review Questions 3-43

Configuring Routing Protocols Between PE and CE Routers 3-44

Objectives 3-44 Summary 3-55 Review Questions 3-55 Monitoring MPLS/VPN Operation 3-56 Objectives 3-56 Summary 3-82 Review Questions 3-82 Troubleshooting MPLS/VPN 3-83 Objectives 3-83 Summary 3-100 Review Questions 3-100

Advanced VRF Import/Export Features 3-101

Objectives 3-101

Summary 3-115

Review Questions 3-115

Advanced PE-CE BGP Configuration 3-116

Objectives 3-116

Summary 3-134

Review Questions 3-134

USING OSPF IN AN MPLS VPN ENVIRONMENT 4-1

Overview 4-1

Objectives 4-1

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Copyright  2000, Cisco Systems, Inc. Advanced MPLS VPN Solutions vii

Summary 4-36

Answers to Review Questions 4-37

Using OSPF as the PE-CE Protocol in an MPLS VPN Environment 4-37 Configuring and Monitoring OSPF in an MPLS VPN Environment 4-37

Volume 2

MPLS VPN TOPOLOGIES 5-1

Overview 5-1

Objectives 5-1

Simple VPN with Optimal Intra-VPN Routing 5-2

Objectives 5-2

Summary 5-17

Review Questions 5-17

Using BGP as the PE-CE Routing Protocol 5-18

Objectives 5-18

Summary 5-23

Review Questions 5-23

Overlapping Virtual Private Networks 5-24

Objectives 5-24

Summary 5-33

Review Questions 5-33

Central Services VPN Solutions 5-34

Objectives 5-34 Summary 5-47 Review Questions 5-47 Hub-andSpoke VPN Solutions 5-48 Objectives 5-48 Summary 5-54 Review Questions 5-54

Managed CE-Router Service 5-55

Objectives 5-55

Summary 5-60

Review Questions 5-60

Chapter Summary 5-60

INTERNET ACCESS FROM A VPN 6-1

Overview 6-1

Objectives 6-1

Integrating Internet Access with the MPLS VPN Solution 6-2

Objectives 6-2

Summary 6-16

Review Questions 6-16

Design Options for Integrating Internet Access with MPLS VPN 6-17

Objectives 6-17

Summary 6-23

Review Questions 6-23

Leaking Between VPN and Global Backbone Routing 6-24

Objectives 6-24

Usability of Packet Leaking for Various Internet Access Services 6-32 Redundant Internet Access with Packet Leaking 6-36

Summary 6-38

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Separating Internet Access from VPN Service 6-39

Objectives 6-39

Usability of Separated Internet Access for Various Internet

Access Services 6-44

Summary 6-46

Review Questions 6-46

Internet Access Backbone as a Separate VPN 6-47

Objectives 6-47

Usability of Internet in a VPN Solution for Various Internet

Access Services 6-52 Summary 6-56 Review Questions 6-57 Chapter Summary 6-57 MPLS VPN DESIGN GUIDELINES 7-1 Overview 7-1 Objectives 7-1

Backbone and PE-CE Link Addressing Scheme 7-2

Objectives 7-2

Summary 7-15

Review Questions 7-16

Backbone IGP Selection and Design 7-17

Objectives 7-17

Summary 7-30

Review Questions 7-31

Route Distinguisher and Route Target Allocation Schemes 7-32

Objective 7-32

Summary 7-37

Review Questions 7-37

End-to-End Convergence Issues 7-38

Objectives 7-38

Summary 7-52

Review Questions 7-52

Chapter Summary 7-53

Answers to Review Questions 7-54

Backbone and PE-CE Link Addressing Scheme 7-54 Backbone IGP Selection and Design 7-55 Route Distinguisher and Route Target Allocation Scheme 7-56 End-to-End Convergence Issues 7-56

LARGE-SCALE MPLS VPN DEPLOYMENT 8-1

Overview 8-1

Objectives 8-1

MP-BGP Scalability Mechanisms 8-2

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Copyright  2000, Cisco Systems, Inc. Advanced MPLS VPN Solutions ix MPLS VPN MIGRATION STRATEGIES 9-1 Overview 9-1 Objective 9-1 Infrastructure Migration 9-2 Objective 9-2 Summary 9-9 Review Questions 9-9

Customer Migration to MPLS VPN service 9-10

Objective 9-10

Generic Customer Migration Strategy 9-11 Migration From Layer-2 Overlay VPN 9-13 Migration from GRE Tunnel-Based VPN 9-16 Migration from IPSec-Based VPN 9-19 Migration from L2F-Based VPN 9-20 Migration From Unsupported PE-CE Routing Protocol 9-22

Summary 9-26

Review Questions 9-26

Chapter Summary 9-26

INTRODUCTION TO LABORATORY EXERCISES A-1

Overview A-1

Physical And Logical Connectivity A-2

IP Addressing Scheme A-5

Initial BGP Design A-7

Notes Pages A-8

LABORATORY EXERCISES—FRAME-MODE MPLS CONFIGURATION B-1

Overview B-1

Laboratory Exercise B-1: Basic MPLS Setup B-2

Objectives B-2

Command list B-2

Task 1: Configure MPLS in your backbone B-2 Task 2: Remove BGP from your P-routers B-2

Verification: B-3

Review Questions B-4

Laboratory Exercise B-2: Disabling TTL Propagation B-5

Objective B-5

Command list B-5

Task: Disable IP TTL Propagation B-5

Verification B-5

Laboratory Exercise B-3: Conditional Label Advertising B-6

Objective B-6

Command list B-6

Task: Configure Conditional Label Advertising B-6

Verification B-6

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LABORATORY EXERCISES—MPLS VPN IMPLEMENTATION C-1

Overview C-1

Laboratory Exercise C-1: Initial MPLS VPN Setup C-2

Objectives C-2

Background Information C-2

Command list C-3

Task 1: Configure multi-protocol BGP C-3 Task 2: Configure Virtual Routing and Forwarding Tables C-4

Additional Objective C-5

Task 3: Configuring Additional CE routers C-5

Verification C-6

Laboratory Exercise C-2: Running OSPF Between PE and CE Routers C-9

Objectives C-9

Visual Objective C-9

Command list C-10

Task 1: Configure OSPF on CE routers C-10 Task 2: Configure OSPF on PE routers C-10

Verification C-11

Task 3: Configure OSPF connectivity with additional CE routers C-11

Verification C-12

Laboratory Exercise C-3: Running BGP Between the PE and CE Routers C-13

Objectives C-13

Background Information C-13

Command list C-14

Task 1: Configure Additional PE-CE link C-14 Task 2: Configure BGP as the PE-CE routing protocol C-14

Verification C-15

Task 3: Select Primary and Backup Link with BGP C-16

Verification: C-16

Task 4: Convergence Time Optimization C-17

Verification C-17

LABORATORY EXERCISES—MPLS VPN TOPOLOGIES D-1

Overview D-1

Laboratory Exercise D-1: Overlapping VPN Topology D-2

Objective D-2

Visual Objective D-2

Command list D-3

Task 1: Design your VPN solution D-4 Task 2: Remove WGxA1/WGxB1 from existing VRFs D-4 Task 3: Configure new VRFs for WGxA1 and WGxB1 D-4

Verification: D-4

Laboratory Exercise D-2: Common Services VPN D-8

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Copyright  2000, Cisco Systems, Inc. Advanced MPLS VPN Solutions xi

Verification D-13

Laboratory Exercise D-3: Internet Connectivity Through Route Leaking D-14

Objective D-14

Visual Objective D-14

Command list D-15

Task 1: Cleanup from the previous VPN exercises D-15 Task 2: Configure route leaking between customer VPN and

the Internet D-15

Verification D-16

Additional exercise: Fix intra-VPN routing D-17 Laboratory Exercise D-4: Separate Interface for Internet Connectivity D-18

Objective D-18

Visual Objective D-19

Command list D-20

Task 1: Cleanup from the previous exercise D-20

Verification D-21

Task 2: Establishing connectivity in the global routing table D-21 Task 3: Routing between the PE-router and the CE-router D-21

Verification D-22

Laboratory Exercise D-5: Internet in a VPN D-23

Objective D-23

Visual Objective D-23

Command list D-24

Task 1: Design your Internet VPN D-24 Task 2: Migrate Internet routers in a VPN D-24

Verification D-25

Additional Task: Direct Internet connectivity for all CE-routers D-26

Verification D-26

INITIAL LABORATORY CONFIGURATION E-1

Overview E-1

Laboratory Exercise E-1: Initial Core Router Configuration E-2

Objective E-2

Task: Configure Initial Router Configuration E-2

Verification E-3

Laboratory Exercise E-2: Initial Customer Router Configuration E-4

Objective E-4

Task: Configure Customer Routers E-4

Verification E-5

Laboratory Exercise E-3: Basic ISP Setup E-6

Objective E-6

Task 1: Configure IS-IS in your backbone E-6 Task 2: Configure BGP in your backbone E-6 Task 3: Configure Customer Routing E-6 Task 4: Peering with other Service Providers E-7 Task 5: Establishing Network Management Connectivity E-7

Verification E-7

INITIAL ROUTER CONFIGURATION F-1

Overview F-1

Router WGxPE1 F-2

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Router WGxPE3 F-6 Router WGxPE4 F-8 Router WGxP F-10 Router WGxA1 F-12 Router WGxA2 F-14 Router WGxB1 F-15 Router WGxB2 F-17

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1

Advanced MPLS

VPN Solutions

Overview

Advanced MPLS VPN Solutions (AMVS) is an instructor-led course presented by Cisco training partners to their end-user customers. This four-day course focuses on using Virtual Private Networks (VPN) implemented with Multi-Protocol Label Switching (MPLS) technology.

Upon completion of this training course, you will be able to design, implement and troubleshoot MPLS VPN networks.

This chapter outlines the course prerequisites and course highlights, as well as some administrative issues. It includes the following topics:

■ Course Objectives ■ Course Topics ■ Prerequisites ■ Participant Role ■ General Administration ■ Sources of Information ■ Course Syllabus ■ Graphic Symbols

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Course Objectives

This section lists the course objectives.

© 2000, Cisco Systems, Inc. www.cisco.com BSCN v1.0—1-2

Course Objectives

Technology

Course Objectives

Technology

Upon completion of this course, you

will be able to perform the following tasks:

Identify major VPN categories and topologies, their

applications and technologies that can be used to

implement them

Describe MPLS/VPN terminology and architecture

Describe the routing and forwarding model of

MPLS/VPN

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Copyright  2000, Cisco Systems, Inc. Advanced MPLS VPN Solutions 1-3

Course Objectives – Implementation

© 2000, Cisco Systems, Inc. www.cisco.com BSCN v1.0—1-3

Course Objectives

Implementation

Course Objectives

Implementation

Upon completion of this course, you

will be able to perform the following tasks:

Configure Virtual Routing and Forwarding tables

Configure Multi-protocol BGP in MPLS/VPN backbone

and the PE-CE routing protocols

Configure advanced MPLS/VPN features

Monitor and troubleshoot MPLS/VPN operations

Describe the specifics of OSPF operation inside a VPN

network

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Course Objectives – Solutions

© 2000, Cisco Systems, Inc. www.cisco.com BSCN v1.0—1-4

Course Objectives

Solutions

Course Objectives

Solutions

Upon completion of this course, you

will be able to perform the following tasks:

Design and implement various MPLS/VPN topologies

Connect your VPN customers to the Internet

Design and implement MPLS/VPN backbone

Build large-scale MPLS VPN backbones

Develop a migration strategy toward MPLS/VPN from

a wide range of existing network infrastructures

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Copyright  2000, Cisco Systems, Inc. Advanced MPLS VPN Solutions 1-5

Prerequisites

This section lists the course prerequisites.

© 2000, Cisco Systems, Inc. www.cisco.com BSCN v1.0—1-5

Advanced MPLS VPN Solutions Advanced MPLS VPN Solutions

Prerequisites

Prerequisites

Successful completion of:

• Building Scalable Cisco

Networks (BSCN)

• Configuring BGP on Cisco

Routers

• One of the MPLS technology

courses

Recommended:

• CCNP or CCIE

certification

• In-depth OSPF or IS-IS

knowledge

• MPLS Traffic

Engineering and QoS knowledge

To fully benefit from AMVS, you should already possess certain knowledge and skills gained in a structured learning environment. You need to be have:

■ In-depth understanding of IP routing and route redistribution in Cisco IOS ■ In-depth knowledge of Border Gateway Protocol (BGP) and practical

experience in configuring BGP networks ■ Baseline MPLS knowledge.

These skills can be gained from self-paced or instructor-led training sessions and from work experience. The best way to gain the skills you need to follow the CBCR course is:

■ To gain IP routing and route redistribution skills, attend Building Scalable Cisco Networks (BSCN) course

■ To gain BGP-related skills, attend Configuring BGP on Cisco Routers (CBCR) course

■ To gain MPLS knowledge, attend MPLS Technology Essentials or Cisco MPLS course.

You will be able to gain more practical experience from the course if already have work experience and router configuration skills. These skills are best demonstrated through Cisco career certifications Cisco Certified Networking Professional (CCNP) or Cisco Certified Internetworking Expert (CCIE). In-depth knowledge of Open Shortest Path First (OSPF) or Integrated Intermediate System – Intermediate System (IS-IS) routing protocol will help you perform the laboratory exercises

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better. MPLS Traffic Engineering and MPLS Quality of Service knowledge will help you understand how these technologies relate to MPLS VPN.

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Copyright  2000, Cisco Systems, Inc. Advanced MPLS VPN Solutions 1-7

Participant Role

This section discusses your responsibilities as a student.

© 2000, Cisco Systems, Inc. www.cisco.com BSCN v1.0—1-6

Student role

Meet prerequisitesIntroduce yourselfAsk and answer questions

Participant Role

Participant Role

To take full advantage of the information presented in this course, you should meet the prerequisites for this class.

Introduce yourself to the instructor and other students who will be working with you during the five days of this course.

You are encouraged to ask any questions relevant to the course materials. If you have pertinent questions concerning other Cisco features and products not covered in this course, please bring these topics up during breaks or after class, and the instructor will try to answer the questions or direct you to an appropriate information source.

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© 2000, Cisco Systems, Inc. www.cisco.com BSCN v1.0—1-7

Welcome: Please

Introduce Yourself

Welcome: Please

Introduce Yourself

Your name and work location

Your job responsibilities

Your internetworking experience

Your objectives for this week

Introduce yourself, stating your name and the job function you perform at your work location.

Briefly describe what experience you have with installing and configuring Cisco routers, attending Cisco classes, and how your work experience helped you meet the prerequisites highlighted earlier.

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Copyright  2000, Cisco Systems, Inc. Advanced MPLS VPN Solutions 1-9

General Administration

This section highlights miscellaneous administrative tasks that must be addressed.

© 2000, Cisco Systems, Inc. www.cisco.com BSCN v1.0—1-8

General Administration

General Administration

Class-related

Sign-in sheet

Length and times

Participant materials

Attire

Facilities-related

Rest rooms

Site emergency

procedures

Break and lunch

room locations

Communications

The instructor will discuss the administrative issues in detail so you will know exactly what to expect from both the class and facilities. The following items will be discussed:

■ Recording your name on a sign-in sheet

■ The starting and anticipated ending time of each class day ■ What materials you can expect to receive during the class ■ The appropriate attire during class attendance

■ Rest room locations

■ What to do in the event of an emergency ■ Class breaks and lunch facilities

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Sources of Information

This section identifies additional sources of information.

© 2000, Cisco Systems, Inc. www.cisco.com BSCN v1.0—1-9

Sources of Information

Sources of Information

Student kit

www.cisco.com

CD-ROMs

Cisco Press

Most of the information presented in this course can be found on the Cisco Systems Web site or on CD-ROM. These supporting materials are available in HTML format and as manuals and release notes.

To learn more about the subjects covered in this course, feel free to access the following sources of information:

■ Cisco Documentation CD-ROM ■ ITM CD-ROM

Cisco IOS 12.1 Configuration GuideCisco IOS 12.1 Command Reference Guide

Many of these documents can be found at the following URL: http://www.cisco.com

Cisco Press books and documents can be found at the following URL: http://www.ciscopress.com

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Copyright  2000, Cisco Systems, Inc. Advanced MPLS VPN Solutions 1-11

© 2000, Cisco Systems, Inc. www.cisco.com BSCN v1.0—1-10

Course Syllabus

Course Syllabus

MPLS VPN Technology MPLS VPN Topologies Internet Access from a VPN MPLS VPN Design Guidelines Large-Scale MPLS VPN Deployment MPLS VPN Migration Strategies

Technology Implementation Solutions

MPLS VPN Configuration on IOS platforms Running OSPF in an MPLS VPN Environment

The following schedule reflects the recommended structure for this course. This structure allows enough time for your instructor to present the course information to you and for you to work through the laboratory exercises. The exact timing of the subject materials and labs depends on the pace of your specific class.

Module 1, MPLS VPN Technology (0,5 day)

The purpose of this module is to introduce you to the concept of Virtual Private Networks and MPLS VPN Architecture. The module also discusses routing and data forwarding model of MPLS VPN. Module 1 includes the following chapters:

■ Chapter 1, “Introduction”

■ Chapter 2, “MPLS VPN Technology” Module 2, MPLS VPN Implementation (1,5 day)

The purpose of this module is to describe the operation and configuration of MPLS VPN on Cisco IOS™ platforms. Module 2 includes the following chapters:

■ Chapter 3, “MPLS VPN Configuration on IOS Platforms” ■ Chapter 4, “Using OSPF in an MPLS VPN Environment” Module 3, MPLS VPN Solutions (2 days)

The purpose of the module is to describe typical MPLS VPN usage scenarios and give you design and implementation guidelines needed to deploy these scenarios in your network.

Module 3 includes the following chapters: ■ Chapter 5, “MPLS VPN Topologies” ■ Chapter 6, “Internet Access from a VPN”

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■ Chapter 7, “MPLS VPN Design Guidelines” ■ Chapter 8, “Large-Scale MPLS VPN Deployment” ■ Chapter 9, “MPLS VPN Migration Strategies”

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2

MPLS VPN Technology

Overview

This lesson introduces Virtual Private Networks (VPN) and two major VPN design options – overlay VPN and peer-to-peer VPN. VPN terminology and topologies are introduced.

The lesson then describes MPLS VPN architecture, operations and terminology. It details CE-PE routing from various perspectives and BGP extensions (route targets, and extended community attributes) that allow I-BGP to transport customer routes over a provider network. The MPLS VPN forwarding model is also covered together with its integration with core routing protocols

Objectives

Upon completion of this lesson, you will be able to perform the following tasks: ■ Identify major Virtual Private network topologies, their characteristics and

usage scenarios

■ Describe the differences between overlay VPN and peer-to-peer VPN ■ List major technologies supporting overlay VPNs and peer-to-peer VPNs ■ Position MPLS VPN in comparison with other peer-to-peer VPN

implementations

■ Describe major architectural blocks of MPLS VPN

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Introduction to Virtual Private Networks

Objectives

Upon completion of this section, you will be able to perform the following tasks: ■ Describe the concept of VPN

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Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-3

© 2000, Cisco Systems, Inc. www.cisco.com Page5

Traditional Router-Based

Networks

Traditional Router-Based

Networks

Traditional router-based networks connect

customer

sites

through

routers

connected via

dedicated point-to-point links

Site C Site B Site A

Site D

Traditional router-based networks were implemented with dedicated point-to-point links connecting customer sites. The cost of such an approach was comparatively high for a number of reasons:

■ The dedicated point-to-point links prevented any form of statistical

infrastructure sharing on the Service Provider side, resulting in high costs for the end-customer

■ Every link required a dedicated port on a router, resulting in high equipment costs.

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© 2000, Cisco Systems, Inc. www.cisco.com Page6

Service Provider Network

Virtual Private Networks

Virtual Private Networks

Virtual Private Networks replace dedicated

point-to-point links with emulated point-to-point-to-point-to-point links sharing

common infrastructure

Customers use VPNs primarily to reduce their

operational costs

Customer site

Customer Premises

router (CPE) Large customer site

CPE router Other customer

routers Provider edge device

(Frame Relay switch) PE device Provider core device PE device CPE router Virtual Circuit (VC) #2 Virtual Circuit (VC) #1

Virtual Private Networks (VPNs) were introduced very early in the history of data communications with technologies like X.25 and Frame Relay, which use virtual circuits to establish the end-to-end connection over a shared service provider infrastructure. These technologies, although sometimes considered legacy and obsolete, still share the basic business assumptions with the modern VPN approaches:

■ The dedicated links are replaced with common infrastructure that emulates point-to-point links for the customer, resulting in statistical sharing of Service Provider infrastructure

■ Statistical sharing of infrastructure enables the service provider to offer the connectivity for lower price, resulting in lower operational costs for the end customers.

The statistical sharing is illustrated in the graphic, where you can see the CPE router on the left has one physical connection to the service provider with two virtual circuits provisioned. Virtual Circuit 1 (VC # 1) provides connectivity to the top CPE router on the right. Virtual Circuit 2 (VC #2) provides the connectivity to the bottom CPE router on the right.

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Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-5

© 2000, Cisco Systems, Inc. www.cisco.com Page7

Customer site

Large customer site

VPN Terminology

VPN Terminology

Customer Network (C-Network): the part of the network still under customer control

Provider Network (P-Network): the Service Provider infrastructure used to provide VPN services

Customer Site: a contiguous part of customer network (can encompass many physical locations)

There are many conceptual models and terminologies describing various Virtual Private Network technologies and implementations. In this section we’ll focus on the terminology introduced by MPLS VPN architecture. As you’ll see, the terminology is generic enough to cover any VPN technology or implementation and is thus extremely versatile.

The major parts of an overall VPN solution are always:

The Service Provider network (P-network): the common infrastructure the Service Provider uses to offer VPN services to the customers

The Customer network (C-network): the part of the overall customer network that is still exclusively under customer control.

Customer sites: contiguous parts of customer network.

A typical customer network implemented with any VPN technology would

contain islands of connectivity completely under customer control (customer sites) connected together via the Service Provider infrastructure (P-network).

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© 2000, Cisco Systems, Inc. www.cisco.com Page8

Service Provider Network

Customer site

Large customer site

VPN Terminology

VPN Terminology

Customer Edge (CE) device: the device in the C-network with link into P-network. Also called Customer Premises Equipment (CPE)

Provider Edge (PE) device: the device in the P-network to which the CE-devices are connected

Provider core (P) device: the device in the P-network with no customer connectivity

The devices that enable the overall VPN solution are named based on their position in the network:

■ Customer router that connected the customer site to the Service Provider network is called a Customer Edge router (CE-router). Traditionally this device is called Customer Premises Equipment (CPE).

Note If the CE device is not a router, but, for example, a Packet Assembly and Disassembly (PAD) device, we can still use a generic term CE-device.

■ Service Provider devices where the customer devices are attached are called Provider Edge (PE) devices. In traditional switched Wide Area Network (WAN) implementations, these devices would be Frame Relay or X.25 edge switches.

■ Service Provider devices that only provide data transport across the Service Provider backbone and have no customers attached to them are called Provider (P) devices. In traditional switched WAN implementations these would be core (or transit) switches.

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Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-7

© 2000, Cisco Systems, Inc. www.cisco.com Page9

Service Provider Network

Customer site

Customer Premises

Router (CPE) Large customer site

CPE router Other customer

routers Provider edge device

(Frame Relay switch)

PE device Provider core device PE device CPE router Virtual Circuit (VC) #2 Virtual Circuit (VC) #1

VPN Terminology

Specific to Switched WAN

VPN Terminology

Specific to Switched WAN

Permanent Virtual Circuit (PVC) is established through out-of-band means (network management) and is always active

Switched Virtual Circuit (SVC) is established through CE-PE signaling on demand from the CE device

Virtual Circuit (VC): emulated point-to-point link established across shared layer-2 infrastructure

Switched WAN technologies introduced a term Virtual Circuit (VC), which is an emulated point-to-point link established across layer-2 infrastructure (for example, Frame Relay network). The virtual circuits are further differentiated into

Permanent Virtual Circuits (PVC) which are pre-established by means of

network management or manual configuration and Switched Virtual Circuits

(SVC) which are established on demand through a call setup request from the CE

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Summary

Virtual Private Networks were introduced by Service Providers to offer a more cost-effective alternative to traditional customer network design, which relied on dedicated point-to-point links between customer sites.

The overall network implemented with a VPN solution is divided into the

Customer network (C-network), which is exclusively under customer’s control

and the Provider network (P-network), the shared infrastructure used to offer the VPN services. A contiguous part of the C-network is called a customer site. The device linking a customer site with the P-network is called Customer Edge (CE) device. Most commonly this is a router, called CE-router. This component was traditionally named Customer Premises Equipment (CPE).

The edge device in Service Provider network, to which the customers are attached, is called Provider Edge (PE) device. The device inside the Provider network with no customer connectivity is a Provider (P) device.

Review Questions

Answer the following questions:

■ Why are customers interested in Virtual Private Networks? ■ What is the main role of a VPN?

■ What is a C-network? ■ What is a customer site? ■ What is a CE-router? ■ What is a P-network?

(33)

Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-9

Overlay and Peer-to-Peer VPN

Objectives

Upon completion of this section, you will be able to perform the following tasks: ■ Describe the differences between overlay and peer-to-peer VPN

■ Describe the benefits and drawbacks of each VPN implementation option ■ List major technologies supporting overlay VPNs

(34)

© 2000, Cisco Systems, Inc. www.cisco.com Page14

VPN Implementation

Technologies

VPN Implementation

Technologies

VPN services can be offered based on

two major paradigms:

Overlay Virtual Private Networks where the

Service Provider provides virtual

point-to-point links between customer sites

Peer-to-Peer Virtual Private Networks where

the Service Provider participates in the

customer routing

Traditional VPN implementations were all based on the overlay paradigm – the Service Provider sells virtual circuits between customer sites as a replacement for dedicated point-to-point links. The overlay paradigm has a number of drawbacks that will be identified in this section. To overcome these drawbacks (particularly in IP-based customer networks), a new paradigm called peer-to-peer VPN was introduced where the Service Provider actively participates in customer routing.

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Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-11

© 2000, Cisco Systems, Inc. www.cisco.com Page15

Service Provider Network

Overlay VPN Implementation

(Frame Relay Example)

Overlay VPN Implementation

(Frame Relay Example)

Customer Site Router A Customer Site Router B Customer Site Router C Customer Site Router D Provider Edge Device

(Frame Relay Switch)

Frame Relay Edge Switch Frame Relay Edge Switch Frame Relay Edge Switch Virtual Circuit (VC) #3 Virtual Circuit (VC) #2 (VC) #1

The diagram above shows a typical overlay VPN, implemented by a Frame Relay network. The customer needs to connect three sites (site Alpha being the central site – the hub) and orders connectivity between Alpha (Hub) and Beta (Spoke) and between Alpha (Hub) and Gamma (Spoke). The Service Provider implements this request by providing two PVCs across the Frame Relay network.

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© 2000, Cisco Systems, Inc. www.cisco.com Page16

Layer-3 routing in Overlay

VPN implementation

Layer-3 routing in Overlay

VPN implementation

Service Provider infrastructure appears as

point-to-point links to customer routes

Routing protocols run directly between customer

routers

Service Provider does not see customer routes and is

responsible only for providing point-to-point

transport of customer data

Router A

Router B Router C Router D

From the layer-3 perspective, the Service Provider network is invisible – the customer routers are linked with emulated point-to-point links. The routing

protocol is run directly between customer routers that establish routing adjacencies and exchange routing information.

The Service Provider is not aware of customer routing and has no information about customer routes. The responsibility of the Service Provider is purely the point-to-point data transport between customer sites.

(37)

Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-13

Overlay VPN Implementations

There are a number of different overlay VPN implementations, ranging from traditional Time Division Multiplexing (TDM) to highly complex technologies running across IP backbones. In the following slides, we’ll introduce major VPN technologies and implementations.

© 2000, Cisco Systems, Inc. www.cisco.com Page17

Overlay VPN

Layer-1 Implementation

Overlay VPN

Layer-1 Implementation

This is the traditional TDM solution:

Service Provider establishes physical-layer

connectivity between customer sites

Customer takes responsibility for all higher layers

ISDN E1, T1, DS0 SDH, SONET

PPP HDLC

IP

In layer-1 overlay VPN implementation, the Service Provider sells layer-1 circuits (bit pipes) implemented with technologies like ISDN, DS0, E1, T1, SDH or SONET. The customer takes responsibility for layer-2 encapsulation between customer devices and the transport of IP data across the infrastructure.

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© 2000, Cisco Systems, Inc. www.cisco.com Page18

Overlay VPN

Layer-2 Implementation

Overlay VPN

Layer-2 Implementation

This is the traditional Switched WAN solution:

Service Provider establishes layer-2 virtual circuits

between customer sites

Customer takes responsibility for all higher layers

X.25 Frame Relay ATM

IP

Layer-2 VPN implementation is the traditional switched WAN model, implemented with technologies like X.25, Frame Relay, ATM or SMDS. The Service Provider is responsible for transport of layer-2 frames between customer sites and the customer takes responsibility for all higher layers.

(39)

Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-15

© 2000, Cisco Systems, Inc. www.cisco.com Page19

Overlay VPN

IP Tunneling

Overlay VPN

IP Tunneling

VPN is implemented with IP-over-IP tunnels

Tunnels are established with GRE or IPSec

GRE is simpler (and quicker), IPSec provides

authentication and security

Generic Route Encapsulation

(GRE) IP Security (IPSec)

Internet Protocol (IP) Internet Protocol (IP)

With the success of Internet Protocol (IP) and associated technologies, some Service Providers started to implement pure IP backbones to offer VPN services based on IP. In other cases, the customers want to take advantage of low cost and universal availability of Internet to build low-cost private networks over it. Whatever the business reasons behind it, overlay Layer 3 VPN implementation over IP backbone always involves tunneling (encapsulation of protocol units at a certain layer of OSI model into protocol units at the same or higher layer of OSI model).

Two well-known tunneling technologies are IP Security (IPSEC) and Generic Route Encapsulation (GRE). GRE is fast and simple to implement and supports multiple routed protocols, but provides no security and is thus unsuitable for deployment over the Internet. An alternate tunneling technology is IPSec, which provides network layer authentication and optional encryption to make data transfer over the Internet secure. IPSec only supports the IP routed protocol.

(40)

© 2000, Cisco Systems, Inc. www.cisco.com Page20

Overlay VPN

Layer-2 Forwarding

Overlay VPN

Layer-2 Forwarding

VPN is implemented with PPP-over-IP tunnels

Usually used in access environments (dial-up, DSL)

Layer-2 Transport

Protocol (L2TP)

Internet Protocol (IP) Point-to-Point Protocol (PPP)

Layer-2 Forwarding (L2F)

Point-to-Point Tunneling (PPTP) Internet Protocol (IP)

Yet another tunneling technique that was first implemented in dial-up networks, where the Service Providers wanted to tunnel customer dial-up data encapsulated in point-to-point protocol (PPP) frames over an IP backbone to the customer’s central site. To make the Service Provider transport transparent to the customer, PPP frames are exchanged between the customer sites (usually a dial-up user and a central site) and the customer is responsible for establishing layer-3 connectivity above PPP.

There are three well-known PPP forwarding implementations: ■ Layer 2 Forwarding (L2F)

■ Layer 2 Transport Protocol (L2TP) ■ Point-to-Point Tunneling Protocol (PPTP)

(41)

Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-17

© 2000, Cisco Systems, Inc. www.cisco.com Page21

Service Provider Network

Peer-to-Peer VPN Concept

Peer-to-Peer VPN Concept

Customer Site Router A Customer Site Router B Customer Site Router C Customer Site Router D Provider Edge (PE)

Router

(PE) Router (PE) Router

(PE) Router

Routing information is exchanged between customer and service-provider routers

Service Provider routers exchange customer routes

through the core network

Finally, the customer routes propagated through the service-provider network are

sent to other customer routers

Overlay VPN paradigm has a number of drawbacks, most significant of them being the need for the customer to establish point-to-point links or virtual circuits between sites. The formula to calculate how many point-to-point links or virtual circuits you need in the worst case is ((n)(n-1))/2, where n is the number of sites you need to connect. For example, if you need to have full–mesh connectivity between 4 sites, you will need a total of 6 point-to-point links or virtual circuits. To overcome this drawback and provide the customer with optimum data transport across the Service Provider backbone, the peer-to-peer VPN concept was

introduced where the Service Provider actively participates in the customer routing, accepting customer routes, transporting them across the Service Provider backbone and finally propagating them to other customer sites.

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© 2000, Cisco Systems, Inc. www.cisco.com Page22

Peer-to-Peer VPN with

Packet Filters

Peer-to-Peer VPN with

Packet Filters

Service provider network Customer A Site #1 Customer A Site #2 Customer B Site #1 Point-of-Presence Shared router

POP router carries all customer routes Isolation between customers is achieved with packet filters on PE-CE interfaces

The first peer-to-peer VPN solutions appeared several years ago. Architectures similar to the Internet were used to build them and special provisions had to be taken in account to transform the architecture, which was targeted toward public backbones (Internet) into a solution where the customers would be totally isolated and able to exchange their corporate data securely.

The more common peer-to-peer VPN implementation uses packet filters on the PE-routers to isolate the customers. The Service Provider allocates portions of its address space to the customers and manages the packet filters on the PE-routers to ensure full Reachability between sites of a single customer and isolation between customers.

(43)

Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-19

© 2000, Cisco Systems, Inc. www.cisco.com Page23

Peer-to-Peer VPN with

Controlled Route Distribution

Peer-to-Peer VPN with

Controlled Route Distribution

Service provider network Customer A Site #1 Customer A Site #2 Customer B Site #1 Point-of-Presence PE-router Customer-A PE-router Customer-B P-router Uplink

Each customer has a dedicated PE router that only carries its routes

The P-router contains all customer routes

Customer isolation is achieved through lack of routing

information on PE router

Maintaining packet filters is a mundane and error-prone task. Some Service Providers thus implemented more innovative solutions based on controlled route distribution. In this approach, the core Service Provider routers (the P-routers) would contain all customer routes and the PE-routers would only contain routes of a single customer, requiring a dedicated PE-router per customer per Point-of-Presence (POP). The customer isolation is achieved solely through lack of routing information on the PE-router. Using route filtering between the P-router and the PE-routers, the PE-router for Customer A will only learn routes belonging to Customer A, and the PE-router for Customer B will only learn routes belonging to Customer B. Border Gateway Protocol (BGP) with BGP communities is usually used inside the Provider backbone since it offers the most versatile route filtering tools.

Note Default routes used anywhere in the customer or Service Provider network break isolation between the customers and have to be avoided.

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© 2000, Cisco Systems, Inc. www.cisco.com Page24

Benefits of Various VPN

Implementations

Benefits of Various VPN

Implementations

Overlay VPN

Well-known and easy to

implement

Service Provider does

not participate in

customer routing

Customer network and

Service Provider

network are well isolated

Peer-to-Peer VPN

Guarantees optimum

routing between

customer sites

Easier to provision an

additional VPN

Only the sites are

provisioned, not the

links between them

Each VPN paradigm has a number of benefits:

■ Overlay VPNs are well known and easy to implement, both from customer and Service Provider perspective

■ The Service Provider does not participate in customer routing in overlay VPNs, making the demarcation point between the Service Provider and the customer easier to manage.

On the other hand, the peer-to-peer VPN give you:

■ Optimum routing between customer sites without any special design or configuration effort

■ Easy provisioning of additional VPNs or customer sites, as the Service Provider only needs to provision individual sites, not the links between individual customer sites.

(45)

Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-21

© 2000, Cisco Systems, Inc. www.cisco.com Page25

Drawbacks of Various VPN

Implementations

Drawbacks of Various VPN

Implementations

Overlay VPN

Implementing optimum

routing requires

full-mesh of virtual circuits

Virtual circuits have to

be provisioned manually

Bandwidth must be

provisioned on a

site-to-site basis

Always incurs

encapsulation overhead

Peer-to-Peer VPN

Service Provider

participates in customer

routing

SP becomes responsible

for customer

convergence

PE routers carry all

routes from all

customers

SP needs detailed IP

routing knowledge

Each VPN paradigm also has a number of drawbacks:

■ Overlay VPNs require a full mesh of virtual circuit between customer sites to provide optimum inter-site routing

■ All the virtual circuits between customer sites in an overlay VPN have to be provisioned manually and the bandwidth must be provisioned on a site-to-site basis (which is not always easy to achieve).

■ The IP-based overlay VPN implementations (with IPSEC or GRE) also incur high encapsulation overhead (ranging from 20 to 80 bytes per transported datagram).

The major drawbacks of peer-to-peer VPN arise from the Service Provider’s involvement in customer routing:

■ The Service Provider becomes responsible for correct customer routing and for fast convergence of customer network following a link failure.

■ The Service Provider P-routers have to carry all customer routes that were hidden from the Service Provider in the overlay VPN paradigm.

■ The Service Provider needs detailed IP routing knowledge, which is not readily available in traditional Service Provider teams.

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© 2000, Cisco Systems, Inc. www.cisco.com Page26

Drawbacks of Traditional

Peer-to-Peer VPNs

Drawbacks of Traditional

Peer-to-Peer VPNs

Shared PE router

All customers share the

same (provider-assigned

or public) address space

High maintenance costs

associated with packet

filters

Lower performance—

each packet has to pass

a packet filter

Dedicated PE router

All customers share the

same address space

Each customer requires

a dedicated router at

each POP

The pre-MPLS VPN implementations of peer-to-peer VPNs all shared a common drawback – the customers have to share the same address space, either using public IP addresses in their private networks or relying on service provider-assigned IP addresses. In both cases, connecting a new customer to a peer-to-peer VPN service usually requires IP renumbering inside the customer network – an operation, which most customers are reluctant to perform.

The peer-to-peer VPNs based on packet filters also incur high operational costs associated with packet filter maintenance as well as performance degradation due to heavy usage of packet filters.

The peer-to-peer VPNs implemented with per-customer PE-routers are easier to maintain and can give you optimum routing performance, but are usually more expensive since every customer requires a dedicated router in every POP. This approach is thus usually used in scenarios where the Service Provider only provides service to a small number of large customers.

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Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-23

Summary

© 2000, Cisco Systems, Inc. www.cisco.com Page27

VPN Taxonomy

VPN Taxonomy

Virtual Networks

Virtual Dialup Networks Virtual LANs Virtual Private Networks Peer-to-Peer VPN Access Lists (Shared Router) Split Routing (Dedicated Router) MPLS VPN Overlay VPN Layer 2 VPN Layer 3 VPN X.25 F/R ATM IPSec GRE

There are a number of different Virtual Networking concepts present in the data communications fields:

■ The Virtual Local Area Networks (VLAN) allow you to implement isolated LANs over the same physical infrastructure

■ Virtual Private Dialup Networks (VPDN) allow customers to use dial-in infrastructure of a Service Provider for their private dial-up connections ■ Virtual Private Networks (VPN) allow customers to use shared infrastructure

of a Service Provider to implement their private networks. There are two major VPN paradigms:

■ Overlay VPN, where the Service Provider gives the customer emulated point-to-point links across Service Provider backbone and

■ Peer-to-peer VPN, where the Service Provider becomes actively involved in customer routing and acts as the core layer-3 backbone of the customer network.

The overlay VPNs are implemented with a number of technologies, ranging from traditional layer-1 technologies (ISDN, SDH, SONET) and layer-2 technologies (X.25, Frame Relay, ATM) to modern IP-based solutions (GRE and IPSec).

(48)

The overlay VPNs, although well known and easy to implement, are harder to operate due to higher maintenance costs:

■ Every individual virtual circuit needs to be provisioned

■ Optimum routing between customer sites requires a full mesh of virtual circuits between sites

■ Bandwidth has to be provisioned on site-to-site basis.

Traditional peer-to-peer VPNs are implemented with packet filters on shared PE-routers or with dedicated per-customer PE-PE-routers. Along with high maintenance costs (for packet-filter approach) or equipment costs (for dedicated per-customer PE-router approach), both methods require customer to accept the Service

Provider assigned address space or use public IP addresses in the private customer network.

MPLS VPN, introduced in the next sections, provides all the benefits of peer-to-peer VPNs and alleviates most of the peer-to-peer-to-peer-to-peer VPN drawbacks (for example, the need for common customer address space).

Review Questions

Answer the following questions: ■ What is an overlay VPN?

■ Which routing protocol runs between the customer and the service provider in an overlay VPN?

■ Which routers are routing protocol neighbors of a CE-router in overlay VPN? ■ List three IP-based overlay VPN technologies.

■ What is the major benefit of peer-to-peer VPN as compared to overlay VPN? ■ List two traditional peer-to-peer VPN implementations?

(49)

Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-25

Major VPN Topologies

Objectives

Upon completion of this section, you will be able to perform the following tasks: ■ Identify the three major categorizations of VPN

■ Identify the three Overlay VPN topologies

■ Understand the implications of using overlay VPN approach with each topology

■ List sample usage scenarios for each topology

■ Identify the three VPN categorization based on business needs ■ Identify the three VPN categorization based on connectivity needs

VPN Categorizations

There are three major VPN categorizations:

■ Topology categorization, which only applies to overlay VPNs

■ Business categorization, which categorizes VPNs based on the business needs they fulfill

■ Connectivity categorization, which classifies VPNs based on their connectivity requirements.

(50)

© 2000, Cisco Systems, Inc. www.cisco.com Page32

VPN Topology Categorization

VPN Topology Categorization

Overlay VPNs are categorized based on

the topology of the virtual circuits:

(Redundant) Hub-and-spoke topology

Partial-mesh topology

Full-mesh topology

Multi-level topology—combines several levels

of overlay VPN topologies

The oldest VPN categorization was based on the topology of point-to-point links in an overlay VPN implementation:

Full-mesh topology provides a dedicated virtual circuit between any two CE-routers in the network

Partial-mesh topology reduces the number of virtual circuits, usually to the minimum number that still provides optimum transport between major sites ■ Hub-and-spoke topology is the ultimate reduction of partial-mesh – many

sites (spokes) are only connected with the central site(s) (hubs) with no direct connectivity between the spokes. To prevent single points of failure, the hub-and-spoke topology is sometimes extended to redundant hub-hub-and-spoke topology.

Large networks usually deploy a layered combination of these technologies, for example:

■ Partial mesh in the network core

■ Redundant hub-and-spoke for larger branch offices (spokes) connected to distribution routers (hubs)

■ Simple hub-and-spoke for non-critical remote locations (for example, home offices).

(51)

Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-27

© 2000, Cisco Systems, Inc. www.cisco.com Page33

Service Provider Network

Overlay VPN

Hub-and-Spoke Topology

Overlay VPN

Hub-and-Spoke Topology

Central site (HUB)

Remote site (spoke)

Remote site (spoke)

Remote site (spoke) Central site

router

Remote site (spoke)

The hub-and-spoke topology is the simplest overlay VPN topology – all remote sites are linked with a single virtual circuit to a central CE-router. The routing is also extremely simple – static routing or distance-vector protocol like RIP are more than adequate. If you are using dynamic routing protocol like RIP, split-horizon must be disabled at the hub router, or you must use point-to-point sub-interfaces at the hub router to overcome the split-horizon problem.

(52)

© 2000, Cisco Systems, Inc. www.cisco.com Page34

Service Provider Network

Overlay VPN

Redundant Hub-And-Spoke

Overlay VPN

Redundant Hub-And-Spoke

Central site (HUB)

Remote site (spoke)

Remote site (spoke)

Remote site (spoke) Redundant

Central site router

Remote site (spoke) Redundant

Central site router

A typical redundant hub-and-spoke topology introduces central site redundancy (more complex topologies might also introduce router redundancy at spokes). Each remote site is linked with two central routers via two virtual circuits. The two virtual circuits can be used for load sharing or in a primary/backup configuration.

(53)

Copyright  2000, Cisco Systems, Inc. MPLS VPN Technology 2-29

© 2000, Cisco Systems, Inc. www.cisco.com Page35

Overlay VPN

Partial Mesh

Overlay VPN

Partial Mesh

Moscow Sydney Guam Berlin Hong Kong New York

Virtual circuits (Frame Relay DLCI)

Partial mesh is used in environments where the cost or complexity factors prevent a full-mesh between customer sites. The virtual circuits in a partial mesh can be established based on a wide range of criteria:

■ Traffic pattern between sites

■ Availability of physical infrastructure ■ Cost considerations

References

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