Second, the difference between profit and loss on individual deployments may depend on the ability to charge more for services, like transparent LANs, backed by premium guarantees of network performance. For Ethernet carriers, MPLS is the key to the connection-oriented capabilities that translate into premium service level capabilities. MPLS will, in the long run, provide Ethernet service providers a chance to reach those customers once beyond their ken, and improve overall profitability. This study introduces MPLS and Ethernet technologies, and demonstrates in concrete terms how the two can improve the economics of Ethernet-based services using the example of Transparent LAN Services in a typical metro setting. Ethernet comes, of course, from the LAN, while MPLS has its origins in the IP core.
Metro networks mark their first and only point of direct interaction.
Ethernet is by far the most highly deployed network type on earth, with over 250 million Ethernet devices already connected. With its domination of local area networking secure, Ethernet has most recently taken a well-publicized leap into metro networking. The result is a potent combination of speed, scalability, and operational simplicity that has won many converts. Figure 1 - MPLS and Ethernet come from opposite ends of the Network. In the metro, its most obvious utility comes as an instrument for creating guaranteed and secure service capabilities.