Understanding the Key Differences Between SD-WAN Underlay and Overlay


Published: 28 Jan 2025


SD-WAN Underlay vs SD-WAN Overlay

SD-WAN has revolutionized how businesses manage networks, with its underlay and overlay systems offering unique benefits. But what’s the difference between SD-WAN underlay, overlay, and how they work together? Many businesses struggle to optimize their networks, facing issues like slow application performance or high costs. Imagine using a solution that combines the reliability of physical connections with the intelligence of virtual traffic management. Whether you’re curious about SD-WAN underlay, overlay, or their roles in boosting network efficiency, this guide will simplify it all for you.

SD-WAN Underlay

SD-WAN underlay is the physical network infrastructure, such as MPLS, broadband, or fiber, that forms the foundation for data transport in an SD-WAN environment. It provides the essential connectivity over which the SD-WAN overlay operates, ensuring stable and reliable communication between network endpoints.

What is SD-WAN Underlay

SD-WAN underlay refers to the physical network connections, like fiber or broadband, that carry your data. It provides the foundation for SD-WAN to work efficiently.

Examples of SD-WAN Underlay

Here are some SD-WAN Underlay examples:

  1. MPLS (Multiprotocol Label Switching): High-performance, private network connections.  
  2. Broadband Internet: Cost-effective and widely available connectivity.  
  3. Fiber Optic Networks: High-speed, reliable data transport.  
  4. LTE/4G/5G Mobile Networks: Wireless connectivity for remote or mobile locations.  
  5. Satellite Connections: Connectivity for areas without terrestrial networks.

Characteristics of SD-WAN Underlay

  • Reliability: Provides stable and consistent connectivity for data transmission.  
  • Scalability: Supports the growth of the network by accommodating more sites and traffic.  
  • Diversity: Utilizes multiple types of physical connections (MPLS, broadband, etc.) to enhance network performance and avoid single points of failure.

SD-WAN Overlay

SD-WAN overlay is the virtual network layer built on top of the physical SD-WAN underlay. It uses software to manage, optimize, and secure traffic flow between sites, ensuring the best performance across different network paths. The overlay is responsible for tasks like traffic routing, application prioritization, and encryption, providing flexibility and intelligence to the network.

What is SD-WAN Overlay

SD-WAN overlay is the virtual layer that sits on top of the physical network. It controls traffic, optimizes performance, and ensures secure connections between locations.

Examples of  SD-WAN Overlay

Here are some SD-WAN overlay examples:

  1. Directing internet traffic through the fastest available path.
  2. Prioritizing video calls or VoIP for better quality.
  3. Encrypting data to keep it secure as it travels across networks.
  4. Optimizing cloud applications for faster performance.
  5. Rerouting traffic when the primary connection is down to avoid disruption.

Characteristics of SD-WAN Overlay

  • Traffic Management: It intelligently directs traffic over the best available path for speed and reliability.
  • Security: It encrypts data to ensure safe communication over any network.
  • Flexibility: It allows easy adjustments and scaling as your network needs change.

What is the Difference Between SD WAN Underlay and Overlay

SD-WAN OverlaySD WAN Overlay
Refers to physical network infrastructure.Refers to the virtual network built on top.
Includes connections like broadband, MPLS, or fiber.Manages traffic across multiple underlays.
Provides the foundation for SD-WAN operation.Adds intelligence for efficient traffic routing.
Focuses on stability and connectivity.Focuses on optimization and flexibility.
No control over traffic routing.Controls traffic flow for performance and cost savings.
Affects overall network reliability.Affects how data is prioritized and secured.
Does not include traffic management or security features.Provides encryption and application-aware routing.
Typically managed by ISPs or network providers.Managed by SD-WAN software (virtual layer).
Static in nature; limited flexibility.Highly flexible and dynamic.
Can be costly depending on the provider.Reduces costs by optimizing traffic over multiple links.
Essential for network connectivity.Enhances performance and security.
Provides raw connectivity but lacks intelligence.Adds network intelligence for traffic shaping and optimization.
Can include MPLS, LTE, or broadband connections.Typically used with multiple underlays for better performance.
Limited to the physical hardware and connections.Can scale and adapt easily to new network demands.
Not responsible for application traffic routing.Responsible for directing and prioritizing application traffic.

Conclusion About SD-WAN Underlay vs Overlay

The differences between SD-WAN underlay, SD-WAN overlay, and their combined benefits can significantly impact the efficiency of your network. From a personal standpoint, I recommend carefully evaluating your network’s needs to choose the right combination of underlay and overlay. Whether you prioritize reliability or flexibility, the right SD-WAN solution can optimize your business operations. Start exploring SD-WAN options today and make a choice that aligns with your goals!

FAQS – SD-WAN Overlay vs Underlay

How much underlayment do I need?

The amount of underlayment you need depends on the size of the area you’re covering. Measure the total square footage and buy a bit extra to account for cuts and waste.

Is underlayment necessary for vinyl plank flooring?

Yes, underlayment is necessary for vinyl plank flooring. It helps with noise reduction, provides a smooth surface, and adds extra cushioning.

What’s the difference between overlay and underlay in networking?

In networking, the underlay is the physical network infrastructure (like cables and routers), while the overlay is the virtual network that manages traffic and improves performance on top of the underlay.

Is the underlay waterproof?

It depends on the type of underlay. Some underlays are specifically designed to be waterproof, while others may not be. For example, certain foam or cork underlays for flooring may offer water resistance, but they aren’t fully waterproof. It’s important to check the product specifications to ensure it meets your needs.

What is overlay nails?

Overlay nails are nails that are placed over existing nails for added strength or support.

What is voice overlay?

Voice overlay is the addition of a voice track to a video or audio recording, often used in media production.

What is overlay on cabinet hinges?

 Overlay on cabinet hinges refers to the way the door overlaps the cabinet frame when closed.

What is an overlay hinge?

 An overlay hinge is a hinge that allows a cabinet door to overlap the frame for a clean look.

What is the overlay on a cabinet hinge?

The overlay on a cabinet hinge refers to how much the door covers the cabinet frame when it is closed.

What is overlay on cabinet doors?

Overlay on cabinet doors is when the door covers part of the cabinet frame, providing a seamless appearance.

A 1/2 overlay hinge: what is it?

For cabinet doors that cover half of the cabinet frame, a 1/2 overlay hinge is the type of hinge used.

What is overlay cabinet hinges?

 Overlay cabinet hinges are hinges that allow the cabinet door to overlap the frame.

What is risk overlay expectations?

Risk overlay expectations refer to the anticipated risks that may appear on top of an existing risk assessment.

What is overlay crochet?

Overlay crochet is a technique where different colors or patterns are added over a base layer of crochet stitches to create intricate designs.





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