Understanding the Architecture of Cisco SD-WAN

April 2, 2023
18 min read

StanleyArvey

Table of Contents

Quick navigation11 sections

In today's digital age, businesses rely heavily on networks to communicate and exchange data. However, with the increase in cloud-based applications and distributed workforce, traditional networks can no longer meet the demands of modern businesses.

This is where Software-Defined Wide Area Networking (SD-WAN) comes into play.

Cisco, one of the leading network infrastructure providers, offers a comprehensive SD-WAN solution that can help businesses transform their networks.

In this blog, we will discuss the architecture of Cisco SD-WAN, its components, and how it works.

Introduction to Cisco SD-WAN

Cisco SD-WAN is a cloud-first architecture that is designed to securely connect users to applications regardless of where they are located.

It provides a unified and secure fabric that spans across any combination of WAN transport (MPLS, Internet, LTE) and cloud gateways (AWS, Azure, Google). It simplifies network management and delivers a superior user experience.

Key Features and Capabilities of SD-WAN

At its core, SD-WAN abstracts the underlying hardware infrastructure and allows the network to be controlled through software. Instead of forcing traffic down predetermined paths, it intelligently routes traffic across multiple WAN connections, dynamically adapting to real-time network conditions to optimize performance and reliability.

Several capabilities make this possible and are worth understanding before looking at the architecture in detail:

  • Traffic management: SD-WAN steers data across the network to avoid congestion and maximize throughput.
  • Load balancing: Traffic is distributed across multiple connections to make the best use of available bandwidth.
  • Application-aware routing: The network makes real-time forwarding decisions based on the type of application in use, prioritizing critical traffic such as VoIP and video conferencing.
  • Built-in security: Encryption and segmentation protect sensitive data as it moves between branches and the cloud.
  • Centralized management: Administrators implement policies, monitor network health, and respond to issues from a single pane of glass.

Together, these features reduce complexity, improve network agility, and cut costs by letting organizations use less expensive connection types—such as broadband internet—alongside or instead of MPLS.

Components of Cisco SD-WAN

The architecture of Cisco SD-WAN is made up of several components that work together to provide a complete solution. Here are the key components of Cisco SD-WAN:

vEdge Routers

vEdge routers are the backbone of the Cisco SD-WAN architecture. They provide the data plane and control plane functions necessary for SD-WAN. They are deployed at the branch, campus, and data center locations.

The vEdge router architecture provides high availability, resiliency, and scalability. The routers are based on a multi-core processor architecture that provides high performance and can handle large amounts of data traffic. The routers also support a variety of WAN transport options, including MPLS, Internet, and LTE.

vSmart Controllers

vSmart controllers provide the centralized control plane function for Cisco SD-WAN. They are responsible for determining the best path for data traffic to take based on network policies and conditions. They also provide secure connectivity to the cloud and data center applications.

The vSmart controllers are deployed in the cloud or on-premises. They use policies to determine the best path for data traffic to take based on real-time network conditions. The controllers can also detect and respond to network issues, ensuring high availability and resiliency.

vManage

vManage is the centralized management and orchestration platform for Cisco SD-WAN. It provides a single pane of glass view of the entire SD-WAN infrastructure, including vEdge routers, vSmart controllers, and cloud gateways. It simplifies network configuration, monitoring, and troubleshooting.

The vManage platform provides a web-based interface for network administrators to manage and monitor the entire SD-WAN infrastructure. It provides a comprehensive view of the network topology, including real-time network and application performance metrics. The platform also provides an API for integrating with third-party systems.

Cloud Gateways

Cisco SD-WAN supports cloud gateways for direct access to cloud applications. Cloud gateways are virtual appliances that provide secure connectivity to public cloud services such as AWS, Azure, and Google Cloud.

The cloud gateways are deployed in the cloud and provide secure connectivity to public cloud services. They are responsible for encrypting and decrypting data traffic between the SD-WAN fabric and the cloud services. The gateways also provide visibility into the performance of cloud applications.

How Cisco SD-WAN Works

The architecture of Cisco SD-WAN is based on the concept of overlay networks. The overlay network is created by connecting the vEdge routers with encrypted tunnels over any WAN transport. The vSmart controllers provide the control plane function for the overlay network. They determine the best path for data traffic to take based on network policies and conditions.

The vEdge routers provide the data plane function for the overlay network. They are responsible for forwarding data traffic over the encrypted tunnels.

Security in Cisco SD-WAN: TLS and DTLS

The encrypted tunnels that hold the overlay together depend on two closely related security protocols: Transport Layer Security (TLS) and Datagram Transport Layer Security (DTLS). Both protect data as it moves across the distributed enterprise, but they serve different types of traffic.

TLS in Cisco SD-WAN

Transport Layer Security is a widely adopted protocol designed to provide privacy and data security for internet communications. Within Cisco SD-WAN, TLS is primarily used to secure TCP-based communications between the vEdge routers and vSmart controllers, ensuring that sensitive data transmitted over these connections remains confidential and tamper-proof. It authenticates the network devices and encrypts the data traffic between them through a system of keys and certificates, guaranteeing that all packets originate from a trusted source. Its support for a range of cipher suites provides flexibility in balancing security level against performance.

DTLS in Cisco SD-WAN

Datagram Transport Layer Security is an adaptation of TLS designed specifically for datagram protocols such as UDP, which are typically used for streaming media, voice over IP (VoIP), and online gaming. In Cisco SD-WAN, DTLS establishes secure channels for UDP communications transparently to the user, providing the same level of encryption as TLS while catering to the different needs of UDP traffic. By minimizing session re-negotiation, DTLS keeps latency low—crucial for applications that need instant data transmission.

TLS vs. DTLS at a Glance

The key differences between the two protocols come down to the type of traffic they secure and the constraints that apply:

  • Protocol type: TLS is TCP-oriented, while DTLS is datagram-oriented (UDP).
  • Use case in SD-WAN: TLS maintains continuous, secure TCP connections; DTLS secures real-time, latency-sensitive applications.
  • Security: TLS is highly secure with robust negotiation mechanisms; DTLS is equally secure with simpler handshakes for lower latency.
  • Performance: TLS is optimal for steady, reliable connections; DTLS is better suited to conditions that demand low delay.

Despite these differences, the two protocols share a common security backbone. Both provide data integrity, encryption, and end-point authentication, and both rely on similar cryptographic algorithms—RSA and ECDSA for key exchange and AES for data encryption. Certificate-based mutual authentication is a prerequisite for each, ensuring that only known and verified devices can communicate over the network. Cisco SD-WAN leverages both TLS and DTLS together for dual-layer security across all transmission types.

As a rule of thumb, use TLS for transactional data that requires reliable, orderly delivery—such as file transfers and database communications—and DTLS for real-time communication where speed and low latency matter more than guaranteed delivery, such as VoIP and video conferencing.

BFD in Cisco SD-WAN

Bidirectional Forwarding Detection (BFD) is a network protocol designed to detect faults between two forwarding engines connected by a link. Standardized by the Internet Engineering Task Force (IETF), it works by establishing a session between two endpoints; if a link fails, BFD quickly informs the routers, leading to faster convergence and reduced downtime. In Cisco SD-WAN, BFD plays a pivotal role in maintaining network stability and efficiency.

BFD Operating Modes

BFD operates in three modes:

  • Asynchronous: The most frequently used mode, involving continuous transmission of BFD control packets between devices.
  • Demand: Used less often; control packets are sent only when a lack of reception is detected.
  • Echo: Leverages reverse-path traffic to detect faults and is not commonly deployed in Cisco SD-WAN environments.

How BFD Integrates with the Fabric

Cisco SD-WAN integrates BFD into its vEdge routers to actively monitor the health and connectivity of WAN links. BFD sessions enable the immediate detection of network anomalies and support the dynamic routing of traffic according to the current state of the network. In failover scenarios, BFD's rapid failure detection allows for almost instant switching from a faulty link to a healthy one, maintaining service continuity. Its sensitivity can be tuned to specific needs: detection intervals can be scaled back to conserve bandwidth on less critical networks, or made more frequent for critical infrastructure that demands prompt fault detection.

Benefits and Best Practices

Deploying BFD in Cisco SD-WAN reduces downtime and improves end-to-end application performance for services that rely heavily on network availability, such as real-time analytics and customer-facing applications. It also adds a layer of resilience for security, since quick link recovery helps keep firewalls and intrusion detection systems operational during disruptions.

The main challenge is the additional signaling traffic BFD can introduce, so administrators must configure its timers and multipliers carefully to balance prompt failure detection against network overhead. Best practice is to start with a thorough network assessment to determine optimal settings, implement scalable configurations that adapt to expansions or shifts in traffic patterns, and update the configuration as the network changes. Involving both network and security teams in planning and monitoring helps keep BFD aligned with the wider network strategy.

Real-World Applications of SD-WAN

Looking at where SD-WAN is deployed helps illustrate its value:

  • Retail: Retail chains use SD-WAN to quickly and securely connect multiple outlets to head offices and data centers, keeping point-of-sale and inventory processes synchronized even during high-traffic events such as sales or product launches.
  • Healthcare: Healthcare organizations prioritize critical applications such as electronic health records (EHR) systems, improving the reliability and performance of applications vital to patient care.
  • Real-time communications: Because SD-WAN can prioritize traffic and recover from link failures quickly, it supports VoIP and video conferencing with minimal packet loss and high call quality.
  • Financial services: Firms running around-the-clock trading rely on rapid failover to preserve the integrity and security of real-time transactions.

Cisco SD-WAN vs. Cisco DMVPN

SD-WAN is not the only way to connect geographically dispersed sites. Cisco DMVPN (Dynamic Multipoint Virtual Private Network) is an established alternative, and understanding how the two differ helps clarify where SD-WAN fits.

DMVPN builds scalable, secure IPsec VPNs by dynamically establishing a mesh of encrypted tunnels between remote sites over the Internet, without requiring each site to have a permanent IP address. This dynamic nature makes it well suited to organizations that need spontaneous or intermittent connectivity, and it reduces the manual work of adding or removing sites.

The two technologies suit different situations:

  • Management and automation: SD-WAN offers centralized, policy-based management and automation; DMVPN typically requires per-site configuration of tunnel interfaces and more manual effort.
  • Scalability: SD-WAN is inherently scalable thanks to its cloud-delivered nature, supporting rapid deployment of services and secure connectivity to multiple clouds; DMVPN scales well where the number of sites varies frequently, though its manual aspects can become a bottleneck in rapidly changing environments.
  • Cost: SD-WAN often involves a higher initial investment but can deliver a lower total cost of ownership through operational efficiency and reduced downtime; DMVPN has lower initial setup costs and can be budget-friendly for smaller, stable networks.
  • Best fit: SD-WAN suits dynamic, large-scale networks that need high security, flexibility, and ease of management; DMVPN suits stable, site-to-site connectivity with fewer topology changes.

Ultimately, the right choice depends on matching your current and future networking demands—along with implementation, scalability, and cost considerations—to the strengths of each technology.

Implementing Cisco SD-WAN

Getting the most out of SD-WAN depends on a structured implementation plan. The following steps outline a practical path from assessment to ongoing operation:

  1. Evaluate your network requirements. Analyze your existing architecture and identify your business's specific needs—the types and amounts of data transmitted, scalability needs, security requirements, and the geographic distribution of the network.
  2. Choose the right SD-WAN vendor. Select a solution that aligns with your objectives, weighing deployment cost, ease of integration with your existing IT environment, quality of support, and the scalability of the solution.
  3. Plan and design the deployment. Decide on the network topology, determine how existing and new traffic will be routed, and establish how policies will be set. Involving professionals experienced in SD-WAN helps maximize performance and reliability.
  4. Deploy and configure the solution. Install the SD-WAN appliances or software in the designated locations and configure them to your design, ensuring internet, MPLS, and other services work cohesively. Rigorous testing at this stage is essential.
  5. Monitor and optimize the network. Use the built-in analytics and real-time monitoring tools to observe performance, identify and rectify issues, and continually tune the network as business needs evolve.

A Learning Path for SD-WAN

For anyone building SD-WAN expertise, it helps to progress through clear stages, each building on the last:

  • Beginner: Focus on networking fundamentals—IP routing, basic LAN and WAN principles, network design, and the overall architecture of SD-WAN, including the WAN technologies it can replace or augment.
  • Intermediate: Move into deployment and initial management—setting up an SD-WAN solution, configuring devices, and monitoring network health. A lab or simulation environment is valuable for gaining hands-on experience.
  • Advanced: Concentrate on optimization and security—advanced routing techniques, Quality of Service (QoS) settings, and integrating security frameworks such as next-generation firewalls (NGFW) into the SD-WAN structure, along with compliance and continuous monitoring.

To build both the theory and the hands-on skills behind these stages, explore the SD-WAN courses available on the platform.

Conclusion

In conclusion, Cisco SD-WAN is a powerful solution that can help businesses transform their networks by providing a cloud-first architecture that simplifies network management and delivers a superior user experience. The components of Cisco SD-WAN work together to provide a comprehensive solution that can meet the demands of modern businesses.

If you're interested in learning more about Cisco SD-WAN, Orhan Ergun's SD-WAN course is a great place to start.

His course provides a comprehensive overview of Cisco SD-WAN and covers topics such as deployment, configuration, and troubleshooting.

StanleyArvey

About the Author

StanleyArvey

Stanley Arvey, the dynamic world of Information Technology's intricacies and nuances, has been navigating for over a decade. With a keen eye for detail and a passion for simplifying complex tech concepts, Stanley has become a sought-after voice in the IT blogging community. Through his contributions to OrhanErgun.net, he provides insights, analyses, and thought leadership that keep readers both informed and engaged.

Share this Article

Related Articles

Basic NetworkingAugust 22, 2024

Understanding Route Leaking Between VRFs in Cisco Routers

Understanding Route Leaking Between VRFs in Cisco Routers Virtual Routing and Forwarding (VRF) technology is a pivotal feature in the realm of network routers, allowing the segmentation of network paths...

Read Article
Basic NetworkingAugust 22, 2024

Troubleshooting Common Cisco VRF Issues: Expert Tips and Solutions

Troubleshooting Common Cisco VRF Issues: Expert Tips and Solutions In the world of complex network designs, Cisco Virtual Routing and Forwarding (VRF) stands out as a robust technology enhancing security...

Read Article
Basic NetworkingAugust 22, 2024

Cisco VRF vs. MPLS: Navigating the Differences

Cisco VRF vs. MPLS: Navigating the Differences In the vast landscape of network technology, understanding the nuances between different solutions is crucial for optimizing and securing a network. Cisco's Virtual...

Read Article
Basic NetworkingAugust 22, 2024

How to Configure VRF on Cisco Routers: Step-by-Step Tutorial

Virtual Routing and Forwarding (VRF) is a technology that allows multiple instances of a routing table to coexist within the same router at the same time. It lets you segment...

Read Article
Basic NetworkingAugust 22, 2024

Optimizing Your Network with Cisco VRF: Best Practices

Optimizing Your Network with Cisco VRF: Best Practices Virtual Routing and Forwarding (VRF) is an essential technology in network design, particularly for organizations that require segmenting network traffic for security,...

Read Article
Basic NetworkingJune 4, 2024

Infoblox NIOS Expert: A Comprehensive Guide

Infoblox NIOS Expert: A Comprehensive Guide As networking environments become increasingly complex, the demand for sophisticated tools to manage these systems rises significantly. Infoblox Network Identity Operating System (NIOS) is...

Read Article

Subscribe for Exclusive Deals & Promotions

Stay informed about special discounts, limited-time offers, and promotional campaigns. Be the first to know when we launch new deals!