Understanding VXLAN: Overcoming VLAN Limitations

 VXLAN

Virtual Extensible LAN (VXLAN) is a network virtualization technology that addresses the limitations of traditional VLANs (Virtual Local Area Networks). Here are the critical points about VXLAN:

• Encapsulation: VXLAN encapsulates Layer 2 Ethernet frames within Layer 4 UDP datagrams, allowing Layer 2 networks to be extended over a Layer 3 infrastructure.
• Scalability: Unlike traditional VLANs, which are limited to 4094 VLANs due to the 12-bit VLAN ID, VXLAN uses a 24-bit VXLAN Network Identifier (VNI). This allows for up to 16 million unique identifiers, significantly increasing scalability.
• Overlay Networks: VXLAN creates overlay networks on top of physical networks. This separation allows for greater flexibility and efficiency in managing network resources.
• VXLAN Tunnel Endpoints (VTEPs): These devices encapsulate and de-encapsulate VXLAN packets. VTEPs can be implemented in software (e.g., virtual switches) and hardware (e.g., routers and switches).

VXLAN is particularly useful in large-scale data centers and cloud environments where network scalability and flexibility are crucial.