Multiprotocol label switching (MPLS) or software-defined wide area networking (SD-WAN)? This questions gets asked all the time by IT managers.
It’s no secret software-defined wide area networking technology has quickly replaced older standards like MPLS.
But that doesn’t mean SD-WAN solutions are automatically going to be the right choice for your business. And it can be somewhat challenging to determine which of the two is the best fit for your business.
Let’s talk about how you can differentiate between SD-WAN vs. MPLS, exploring their security features, management and monitoring capabilities, and hybrid approaches to help you make the best decision for your network connectivity needs — and ultimately, to answer one question: Should SD-WAN replace MPLS in your organization?
Understanding SD-WAN and MPLS
Before we explore their differences, let’s go over what SD-WAN and MPLS solutions do.
MPLS is a wide area network (WAN) architecture that routes data packets over private, pre-defined paths. As a protocol implemented on networking hardware, it’s typically used in high-performance telecommunications networks to direct data from one node to the next based on short path labels rather than long network addresses. This reduces the complexity of lookups in routing tables and speeds up traffic flow.
MPLS is also used for traffic engineering and quality of service (QoS) in IP networks.
SD-WAN uses software to route data packets via the best transport method (broadband internet, 4G, etc.). This is generally determined by bandwidth availability and policy-based routing. It forms a sort of virtual overlay atop a network’s physical connectivity. This overlay can incorporate multiple connection types, including broadband internet and MPLS lines.
One key feature of SD-WAN technology is application aware routing, which enhances network performance and resilience through dynamic path selection based on the needs of critical applications.
SD-WAN vs MPLS: Key Differences
SD-WAN and MPLS networking technology serve a similar purpose, as both enable business connectivity over a wide area. However, they differ from one another in a few significant ways, with SD-WAN emerging as the clear winner in several categories:
Performance
MPLS networks provide a reliable, fixed level of bandwidth – but there’s a limit on how much capacity an MPLS connection can provision at once. An MPLS network handles network traffic through dedicated paths, ensuring reliability for critical applications. This makes it an excellent choice for latency-sensitive applications that don’t require Internet connectivity.
At the same time, trying to run cloud applications over MPLS can result in high latency and slow connections.
Unlike MPLS, SD-WAN combines multiple types of connections to add capacity as needed. This flexibility allows businesses to send critical applications like video calls and web conferencing over the highest-performing connection, which reduces packet loss and minimizes latency.
Cost
MPLS connections require upfront hardware investment. They can be quite costly, especially for businesses with multiple branches or offices. MPLS connections also route network traffic through Label Switched Paths (LSPs), which can add to the overall cost due to the need for specialized infrastructure. SD-WAN doesn’t have this problem.
SD-WAN solutions don’t require specialized hardware. This means that IT teams can add new connections anytime, because the physical distance between endpoints doesn’t matter. Additionally, SD-WAN offers considerable cost savings compared to MPLS.
Businesses that switch to SD-WAN typically reduce costs by 50% or more. Better yet, because SD-WAN uses several types of connections to route WAN traffic, businesses can rely on more cost-effective network connections like mobile and broadband for low-priority tasks. They can then save more expensive connections for critical applications.
Basic Network Security
MPLS solutions do offer some security by running on separate infrastructure from public internet. Because MPLS routes traffic through dedicated, they can also help protect sensitive data. At the same time, they lack the built-in encryption features of SD-WAN. MPLS also doesn’t typically feature integrated security.
This puts the responsibility on the IT team to select and implement the right cyber security solutions. It also puts the onus on them to manage those solutions.
Comparatively, security is another area where SD-WAN outshines its predecessor. Secure SD-WAN solutions include encrypted end-to-end tunnels across the network. Additionally, businesses can build a multi-layered security strategy that combines this built-in encryption with firewalls, URL filtering, and more.
Additional Security Features
MPLS does not encrypt traffic. This means that packets can be read and intercepted without additional data protection.
SD-WAN networks provide inherent security through encrypted VPN connections, simplifying compliance with regulations like HIPAA. They also offer multiple integrated security options, and can be incorporated into more advanced solutions such as secure access service edge (SASE)
Lastly, SD-WAN offers secure web gateway and cloud access security broker features, ensuring data protection and secure access to cloud services.
Management and Monitoring
MPLS networks can be resource-intensive, but typically offer robust tools for monitoring network performance. However, these tools aren’t always centralized or easy to use.
SD-WAN offers centralized management and easier monitoring, providing IT teams with greater control and visibility over the network.
With SD-WAN, a single pane of glass manages the entire network, simplifying operations and reducing administrative overhead.
Choosing the Right Solution for Your Business
When deciding between MPLS and SD-WAN, consider the specific needs of your organization.
MPLS is ideal for industries requiring guaranteed performance and reliability for specific point-to-point connections, such as finance, healthcare, and manufacturing.
SD-WAN solutions suit businesses seeking cost-effective, flexible, and scalable networking solutions, particularly beneficial for companies with multiple branches or remote locations.
Combining MPLS and SD-WAN
A hybrid approach leverages the strengths of both MPLS and SD-WAN, providing a balance of performance, reliability, and cost-efficiency. Organizations with diverse networking needs can combine the benefits of MPLS technology with the flexibility and scalability of SD-WAN.
Find the Right-Fit Connectivity Solution With Momentum
Modern businesses rely heavily on network connectivity to power their operations — but that connectivity needs to be backed by the right networking technology. Amidst distributed work, increasing demand for cloud services, the prevalence of multi-cloud environments, and the need for frameworks like zero trust network access, choosing the right WAN network service is a critical decision for IT leaders.
When it comes to SD-WAN vs. MPLS, both have merit for modern enterprises. We’ve now gone over the differences between MPLS and SD-WAN. Now all that’s left is to answer one final question: Which is right for your business?
As with most technologies, whether to choose MPLS or SD-WAN depends on your specific business needs. — both SD-WAN and MPLS have their strengths.
MPLS circuits provide unmatched reliability, with near-zero packet loss. MPLS solutions also don’t require the same level of active management as most SD-WAN solutions. Lastly, they tend to offer far more predictable traffic management and network performance, especially in the case of dedicated MPLS circuits.
With that said, an SD-WAN deployment has many advantages over MPLS, including improved performance, lower costs, and better network security. SD-WAN architecture is also considerably more scalable than physical MPLS circuits. And while MPLS provides more predictable performance, SD-WAN solutions offer better performance optimization.
For most businesses, the fact that SD-WAN reduces costs and offers greater scalability and flexibility while also being able to connect to MPLS circuits will be the deciding factor.
Here’s where Momentum comes in. Our award-winning Navigator SD-WAN solution offers best-in-class features for always-on accessibility and secure connections. Contact us today to learn more about how SD-WAN can benefit your business – and experience the Momentum difference for yourself.
