MPLS VPNs transport layer 2 packets across the network and encapsulate transport protocols such as ATM, Ethernet, and SONET, allowing MPLS networks to seemlessly upgrade and replace legacy layer 2 networks without requiring network reconfiguration or using protocols higher than layer 2. In comparison, layer 3 VPNs must use the layer 3 Internet Protocol (IP).

An Internet T1 (or T-1) T1 is a symmetrical local access connection to an Internet port that allows for downloads and uploads of up to 1.5 Mega Bits Per Second (Mbps) which is 30 times as fast as a 56 Kilo Bits Per Second (Kbps) dial-up connection over a standard Plain Old Telephone Service (POTS) phone line.

Hosted Voice over Internet Protocol (VoIP) is a voice and data technology that supports several telecommunications protocols, such as Session Initiation Protocol (SIP) and Internet Protocol (IP), that that makes it easy for people to use the Internet to make telephone calls while saving money on premise hardware.

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MPLS works across various data protocols such as the Internet Protocol (IP), Asynchronous Transport Mode (ATM), and frame relay. MPLS forwards most packets at layer 2 (switching) instead of at layer 3 (routing) level.

The wide-spread use of Ethernet has reduced the cost of Ethernet switches and also the space required to deploy Ethernet networks either via twisted pair copper or fiber and virtually all computer manufacturers include an Ethernet card as a standard component on Personal Computer (PC) motherboards which eliminates having to install an Ethernet card as a peripheral device.

Asymetric DSL (ADSL) allows more bandwidth to move data toward the end user (multimedia and text) than from the end user (mostly keystrokes and mouse behavior) to the Internet.

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MPLS makes it easier to manage network for quality of service (QoS) because packets can be prioritized by business importance. For example, Voice over IP (VoIP) can be prioritized over email and web browsing packets.