Protecting Your Company’s Data: Incorporating MPLS

Cybersecurity - MPLS

Regardless of the size, each company needs to protect its data, including vital users and network information. Any company can suffer immensely from a data breach, particularly small businesses which may not be poised for the springing threat.

Cybersecurity threats may arise from the typical outsider system hacking or minor employee errors. Incorporating MPLS (Multiprotocol Label Switching) into your business operation comes in handy in mitigating the emerging data breach threats.

Keep reading to learn how MPLS is significant to your company.

What Is MPLS?

Multiprotocol Label Switching is a networking technology that allows you to transfer data privately and securely through your service provider’s network. Companies have embraced the reputable technology for over two decades, since its debutant deployment in 1997.

The network protocol routes traffic using labels instead of source and destination addresses. MPLS expands the business’ LAN (local area network) without public internet, offering your company an exclusive connection.

This networking technology is an excellent fit for companies with more than three offices since it effectively distributes applications across various locations. Most significantly, Multiprotocol Label Switching improves your company’s efficiency and performance by quickly moving information data.

4 Benefits of Managed MPLS Networks

MPLS networks offer four major benefits to a business. 

  1. Scalability

MPLS networks can readily expand from as little as three to hundreds of company locations. MPLS enables you to link multiple locations via data transmission methods, such as Ethernet-based or fiber connections. As a result, with an MPLS network, you can easily connect to your private cloud from any location.

  1. Reliability

MPLS offers traffic prioritization for different network packets, ensuring the packets reach the correct destination. Service level agreements enforce MPLS reliability by requiring the MPLS provider to rectify failures in their network or face penalties.

  1. Bandwidth

MPLS allows many traffic streams to travel over the network at the same time. Furthermore, you can easily allot distinct portions of bandwidth to different data points. This signifies that bandwidth is being used to its full potential.

  1. Security

Technicians can use MPLS to establish duplicate connections with a central internet exit route for each of your locations. This helps protect your network from external threats while ensuring that your internal network runs smoothly.

Is MPLS Dead?

One popular cliché around IT cycles is ‘MPLS is dead.’ However, this claim isn’t valid. With all of its headaches, MPLS and private networking remain the primary backbone for most retail businesses.

The managed MPLS market is still enjoying a rapid surge, with the market value projected to hit an excess of $76 million in 2026 from the current over $50 million. As you can see, this market doesn’t seem ‘dead.’

Nevertheless, with new developments in networking technology, there have been shifts in how people move information. When companies migrate to the cloud, the MPLS-based system becomes inefficient since traffic is routed via corporate hubs, serving as significant choke points.

It is more effective to transmit traffic straight to the cloud. Furthermore, the rising usage of cloud services and mobile apps has expanded network bandwidth requirements, and MPLS systems are hard to grow on demand.

As a result, retail companies have started an exodus from MPLS networks to cloud coverage in the past decade. While MPLS was a brilliant breakthrough, more recent technology advancements meet the current network architecture more effectively.

Cloud services perfectly pinpoint the gap and drawbacks of Multiprotocol Label Switching. SD-WANs are designed with cloud connections in sight, which is why many companies have replaced or supplemented existing MPLS networks with SD-WANs.


Deciding the suitable switching solution between the hardware-based networking technology, MPLS, or the software-based, SD-WAN, for your business can be overwhelming. Different factors such as cost, security, and reliability can influence which solution is ideal for your company’s requirements.

SD-WAN has several advantages, ranging from lower costs to more speed and flexibility, as well as simplicity of operation and setup and better security. This networking technology has become popular among service providers. 

Conversely, private-based networking technology like MPLS is still relevant, especially among businesses with unique connection and security needs.

Both MPLS and SD-WAN are effective networking options. Each has benefits and drawbacks to consider. You should base your MPLS vs. SD-WAN decision on your company’s unique needs.

The software-based SD-WAN option is typically a good fit for most companies. But, should you need reliable data at incredible speeds without data loss, MPLS is ideal, provided encryption is not required.

Final Thoughts

Adding additional data protection measures can help stop unauthorized access to your company’s critical information. While some people perceive that hackers exclusively go after large businesses, they also target small businesses since they often overlook security measures. 

Therefore, if you seek to minimize data breaches, prioritize your data security requirements, such as incorporating MPLS.