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VPN

VPN Motivation

Why is it useful to employ virtual private networks for business communication? After all, separate private networks have been set up to serve the specific communication needs of many businesses. What advantages do you gain by converting the existing separate private networks to an Internet-based VPN?

 


Ubiquitous Coverage

The Internet offers far wider coverage compared with the private data network infrastructures offered by telecommunication providers. Adding new destinations to a private network means adding new circuits.

Unlike the Internet, which has public and private peering points all over the world, few interconnection agreements exist between the service providers. Thus, the coverage of a private network is limited.

The Internet, on the other hand, is a vast interconnection of heterogeneous networks. Any host connected to a network that is connected to the Internet is in turn connected to any other host connected to a network connected to the Internet.

Cost Reduction

Another advantage gained by using an Internet-based VPN is cost reduction based on the system's economy of scale. Simply put, it eliminates the need to purchase and maintain several special-purpose infrastructures to serve the different types of communication needs within a corporation.

Security

VPNs use cryptographic technology to provide data confidentiality and integrity for the data in transit. Authentication and access control restrict access to corporate network resources and services.

In traditional private networks, the security of the data during transit relies on the telecommunication service provider's physical security practices for data confidentiality. For example, frame relay networks have no built-in provision for encrypting data frames. Consequently, data frames, if intercepted, can be easily decoded. In VPNs, you need not trust the perceived physical security of the telecommunication service provider. Instead, data is protected by cryptography.

E-Commerce

More and more business is being conducted using the Internet. Electronic commerce is not only a major new method of retailing merchandise (called "B2C" for business-to-consumer e-commerce), but it is also a way for businesses to trade goods and services among themselves (called "B2B" for business-to-business e-commerce). Interconnectivity of businesses is essential, and the Internet is the logical choice for the interconnection technology.

E-commerce must be secure. Private networks use physical separation for security, but it is impractical to have a separate infrastructure for each customer or B2B partner. Therefore, a closed, inflexible private network is not well suited for supporting e-commerce. A public infrastructure is more flexible but lacks security. VPNs provide both interconnectivity and security.


1.1 Business Communication

There are many types of business communication. Broadly speaking, business communication can be classified into three categories:

· Internal communication The message is limited to selected internal audiences. For example, a corporation may periodically distribute an updated company employee directory to all its employees. Confidentiality is essential.

· Selected external communication The message is intended for selected external audiences. For example, a retail store may want to order a product from its supplier. Although not all communications of this type are considered proprietary, one company's business with another is generally confidential.

· Communication with public and other external audiences The message is intended for general public consumption. Sometimes, the wider audience the message reaches, the better. For example, a company may place a 30-second commercial during a sporting event to reach a large audience. At other times, a targeted message is designed to cater to a specific audience to maximize its impact. This type of communication is generally not confidential.

Businesses have traditionally used specialized technologies for these different types of communication and have managed them separately.

The Convergence of Business Communication

Although businesses have a variety of communication types—and hence the need for different modes of communication—the digitization of information, and the creation of computer networks to deliver it, has been a unifying factor. Internal memos are now emails, and employee directories are kept in databases. Orders can be placed online. The World Wide Web provides a means for publishing sophisticated product brochures. Although there will always be the need for traditional forms of information dissemination, much business communication is converging on a digital network.

The computer networking technologies are also converging. There used to be many types and formats of computer networks, each developed by a different vendor. IBM offered Systems Networking Architecture (SNA) for its mainframe and minicomputers. Digital had DECNET, used in the once-popular VAX computing environment. In the PC environment, Novell's Netware was dominant and still is fairly widely used for PC interconnections. Nonetheless, with the development of the Internet, most computer networks have migrated to an IP-based infrastructure. IP—the Internet Protocol—serves as the common format for all connected network devices on the Internet.

Private Networks

To meet their information infrastructure needs, corporations have invested heavily in internal networks called intranets. Intranets serve the employees at the corporate site, but not employees on the road or telecommuting from home. To accommodate the remote access needs of "road warriors" and telecommuters, companies have set up remote access servers to extend intranets into the field. Usually, a bank of modems allows these users to dial in through public switched telephone networks (PSTNs). Furthermore, employees at branch offices require access to the same information and the same resources, so private lines are used to interconnect the various sites to make one corporatewide intranet.

Special arrangements are sometimes made to allow business partners to have limited access to some part of the corporate intranet.2 These networks, usually called extranets, provide the means to improve the efficiency of business information flow.

Each form of access to the intranet, is a separate private networking solution. This is true even when some aspects of each solution, such as the underlying networking protocols used, are the same. Each form of access also has its own requirements for privacy—requirements that are met by keeping data transmission on separate dedicated channels.

Public Networks

t is also imperative for a corporation to exchange information outside the established private networks. This requires access to a public networking infrastructure such as the Internet.


In addition, the public network opens a new avenue of commerce. It is now unthinkable for a corporation not to have a presence in the World Wide Web. For many companies, such as Amazon.com, there is no "brick and mortar" storefront. The only place where they face customers is in cyberspace.

Virtual Private Networks

Protection of private corporate information is of utmost importance when designing an information infrastructure. However, the separate private networking solutions are expensive and cannot be updated quickly to adapt to changes in business requirements.

The Internet, on the other hand, is inexpensive but does not by itself ensure privacy. Virtual private networking, is the collection of technologies applied to a public network—the Internet—to provide solutions for private networking needs. VPNs use obfuscation through secure tunnels, rather than physical separation, to keep communications private.

This introduction to VPNs covers the evolution of the VPN market, and the latest technologies and solutions.

 



 

 

 

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