What is AWS Transit Gateway, and how does it differ from VPC Peering?

 

AWS Transit Gateway (TGW) and VPC Peering are both networking solutions within Amazon Web Services (AWS) designed to connect Virtual Private Clouds (VPCs) and on-premises networks, but they serve different purposes and have distinct use cases.

 

 1. AWS Transit Gateway (TGW)

AWS Transit Gateway is a managed service that acts as a central hub to connect multiple VPCs, on-premises networks, and AWS accounts. It simplifies network architectures by creating a single gateway through which traffic can flow between different networks.

 

 Key Features:

- Centralized Management: Transit Gateway allows for a hub-and-spoke model, making it easy to manage multiple network connections in one place.

- Scalability: It supports thousands of VPCs and connections, suitable for large, complex network topologies.

- Inter-Region Connectivity: TGW can connect VPCs across different AWS Regions through inter-region peering.

- Bandwidth: Transit Gateway offers high throughput (up to 50 Gbps per attachment in most regions), making it ideal for large-scale data transfers.

 

 Typical Use Cases:

- Large Multi-VPC Environments: Organizations with many VPCs or hybrid networks with on-premises connections.

- Cross-Region Networking: For companies with a presence across multiple AWS Regions.

- Centralized Security and Monitoring: A central hub simplifies security management and monitoring.

 

 2. VPC Peering

VPC Peering is a networking connection between two VPCs that enables them to communicate directly using private IP addresses, as though they are on the same network.

 

 Key Features:

- Direct Point-to-Point Connection: VPC Peering connects two VPCs directly, without an intermediary.

- Simple Setup: It is simpler than TGW for connecting just a few VPCs.

- Low Cost: Only data transfer charges apply, making it more cost-effective for simple architectures.

- Limitations in Transitive Routing: VPC Peering does not support transitive routing, meaning if VPC A is peered with VPC B and VPC B with VPC C, A cannot communicate with C.

 

 Typical Use Cases:

- Simple VPC Connections: Ideal for companies with a limited number of VPCs that need direct communication.

- Limited Cross-Account Connectivity: Suitable when a small number of VPCs across accounts need to be connected.

- Cost-Effective for Smaller Setups: Works well for smaller environments with limited VPC connectivity needs.

 

 Differences Between AWS Transit Gateway and VPC Peering

 

| Feature                 | AWS Transit Gateway           | VPC Peering                          |

|-------------------------|---------------------------------------|--------------------------------------|

| Network Model       | Hub-and-spoke                          | Point-to-point                       |

| Scalability                 | Supports thousands of VPCs    | Limited to individual peering links  |

| Transitive Routing   | Yes                                                | No                                   |

| Multi-Region Support| Yes                                            | Limited (no transitive across regions) |

| Best for                    | Complex, large networks             | Simple, direct VPC connections       |

| Costs                       | Higher due to more features       | Lower, mainly data transfer costs    |

 

In summary:

- Use AWS Transit Gateway for complex network topologies that require transitive routing, centralized control, and scalability.

- Use VPC Peering for straightforward, direct connections between a small number of VPCs, especially when cost-effectiveness is a priority.


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