MPLS Backbone Configuration Overview
This step-by-step guide covers MPLS VPNv4 route configuration on a Cisco IOS backbone, focusing on PE and P routers. The setup excludes PE-CE interaction for this part.
Network Topology
The guide configures four core routers: PE1, P1, P2, and PE2. Customer site networks will be exchanged across the MPLS backbone using VPNv4 routes.
Step 1: Underlay Network Configuration
IP Addressing and Loopback Interfaces
- PE1: Loopback0: 1.1.1.1/32
- P1, P2, PE2: Configure loopback and physical interfaces with unique /32 and /30 addresses
- Assign IPs to core-facing interfaces (e.g., GigabitEthernet0/2)
OSPF Configuration
- Enable OSPF on all PE and P router interfaces except customer-facing ones
- Advertise loopback and core-facing networks
- Set customer-facing interfaces as passive (best practice to avoid unnecessary adjacencies)
Key rule: OSPF must advertise loopbacks for LDP adjacencies. For more background on the roles these devices play, review MPLS Labels, Device Roles & LDP Protocol Explained Simply.
Step 2: Enable MPLS and LDP
- Use
mpls ipon every non-customer-facing interface - For P routers: all physical interfaces
- For PE routers: only core-facing interfaces
Step 3: VRF, Route Distinguisher (RD), and Route Target (RT)
Create VRF and Assign RD/RT
ip vrf GREEN
rd 100:1
route-target both 100:1
- RD (
100:1): Creates unique VPNv4 prefix (ASN:NN or IP:NN format) - RT: Controls import/export of routes to/from MP-BGP
- Use same RT on both PEs for consistent customer identification
Apply VRF to Customer-Facing Interface
interface GigabitEthernet0/1
ip vrf forwarding GREEN
ip address 192.168.1.1 255.255.255.0
Assigning VRF removes existing IP, re-apply it.
For more detail on how VRFs work and why they are essential, see VRF in MPLS Networks: Virtual Routing and Forwarding Explained Simply.
Step 4: Multi-Protocol iBGP for VPNv4
Configure iBGP Peering
router bgp 100
neighbor 4.4.4.4 remote-as 100
neighbor 4.4.4.4 update-source Loopback0
!
address-family vpnv4
neighbor 4.4.4.4 activate
address-family vpnv4enables VPNv4 unicast exchangesend-community extendedis auto-added (required for RT sharing)
To understand how Route Distinguishers and Route Targets fit into the broader VPNv4 picture, refer to MPLS VPNs: RD, RT & VPNv4 Routes Explained Simply.
PE2 Configuration
Mirror PE1 config: peer with 1.1.1.1, activate VPNv4 address family.
Next Steps
- Remaining: Configure customer CE routers, verify VPNv4 route exchange, label switching operation. Stay tuned!{
Hello! This is Lazarus at telecomTech, where telecom and networking technologies... are simply explained! Today we'll be simply explaining the configuration of VPNv4 routes on the MPLS backbone network using Cisco IOS routers. Now MPLS can become quite complex and for this reason,
this whole video series starts from scratch. If you haven't already done so, check out the first videos in this series allowing you to gain the required understanding of the fundamentals in order to more readily appreciate the information shared in this video. And remember to subscribe,
enable notifications, and like this video if you like this video. And if you have questions or feedback, please write them in the comments below! I'm always happy to read them and to respond! The topology that we'll be looking at today is this one here. For this video, we're going
to focus only on the MPLS backbone infrastructure itself. We're going to leave the PE-CE interaction and relationship for the next video. Let me explain a few things about what we're going to do. Although in a production network you would obviously configure all of these routers,
for our purposes we'll only be configuring these four routers here, which are the routers that are going to be involved in the exchange of routes and the label switching for the networks of these two customer sites. First we'll be looking at configuring the underlay network of the PE and
P routers by creating loopback interfaces and assigning them IP addresses for the purpose of forming LDP adjacencies. We'll also assign an IP addressing scheme to the physical interfaces as well. Next we'll employ OSPF between all PE and P routers including the loopbacks,
except for those interfaces facing the customers, such as these ones here. Third we'll enable MPLS on all the appropriate interfaces on the P and PE routers. Fourth, we'll create the appropriate VRFs, RDs, and RTs in the PE routers. And finally we'll create the iBGP peerings between PE1 and
PE2 using multi-protocol BGP so that the VPNv4 routes will be advertised between them. Let's get started! Here is our underlay network topology and the information with our desired IP addressing scheme. Let's see what our configuration steps are for the PE1 router here based on these IP
addresses and interfaces. We start by creating the loopback0 interface and assign it the 1.1.1.1/32 address. We then assign the appropriate IP address to the GigabitEthernet0/2 interface which is the interface that faces into the MPLS network and connects to this P router here. We then configure
our GigabitEthernet0/1 interface which is the interface that faces the customer CE router. And finally we configure OSPF such that the loopback address as well as the network connected to the GigabitEthernet0/2 interface are being advertised. We don't advertise the network connected to the
CE router, however. Now here we've configured this GigabitEthernet0/1 interface as passive. This isn't actually obligatory, but it is best practice, so that OSPF will not send out hello messages to the CE router in an attempt to create an adjacency. Next, let's see what configurations
we're going to have on this P router here. As you can see, they're similar to the PE1 router. First we configure the loopback, then the IP addresses of the GigabitEthernet interfaces. Then we configure OSPF and make sure that we advertise the networks of all interfaces including the loopback
interface. Remember, OSPF must advertise the loopbacks between the PE and P routers in order for them to establish LDP adjacencies. Now the configurations for the underlay of the P2 and PE2 routers are very similar, but we'll show them quickly here for completeness. You can see
the GigabitEthernet interfaces are configured with IP addresses as is the loopback interface and all of those are advertised using OSPF. And the PE2 router here has its loopback and physical interfaces configured with IP addresses and has its core-network-facing interface and its
loopback interface advertised by OSPF, but not its customer-facing interface. And once again, as best practice, we have set this interface as passive. So now we've set up our IP addressing scheme, our loopbacks, and our OSPF IGP underlay routing. Now the next step is to enable MPLS and the LDP
protocol. To do that we simply have to enable MPLS on all those interfaces through which the P and PE routers will create LDP adjacencies. That means all non-customer-connecting interfaces on the PEs and all physical interfaces of the P routers. Here you can see that we have enabled MPLS using
the `mpls ip` command on the Gigabit 0/2 interface of PE1 and also on the GigabitEthernet0/2 and 0/3 interfaces of the P1 router. The same is done on the P2 and the PE2 routers like so. Νow we have set up the underlay network, the IP addressing, and MPLS, allowing the P and PE routers to create
LDP adjacencies. Now we go on to create our VRFs in our PEs. Remember, VRFs are used to identify specific customers and are applied only to PEs. Let's see what we will configure in our PE1 router. First, we create our VRF, and let's call it GREEN. When you issue the `ip vrf green`
command, you can see that we enter into the VRF configuration mode, and it's indicated by the `config-vrf` indicator here. Now it's here that we configure the route distinguisher for this VRF, and it is the RD that will create our unique VPNv4 route. Using our context sensitive help,
we issue the `rd ?` command, and we can see the options that are available for us. We can add our VPN route distinguisher using either the format of ASN:NN or IP address:NN. Remember, the RD is a 64-bit value, so the number before the colon is a 32-bit number and the number
after the colon is another 32-bit number. So you are given the option of using the dotted decimal format of an IP address, which is a 32-bit value, or the value of the ASN that you're using in your BGP configuration. Now note that these are just suggested formats to make our lives easier. You
can use any values you like, but it may be useful to associate the RD value somehow with an ASN, or an IP address for easier management. In any case, I will be using the 100:1 value since we're going to be using ASN 100 in our MPLS infrastructure when we configure BGP. Now at the same time, under
the VRF configuration mode, we also configure our route target, and we configure it like so. Now this doesn't have to be the same value as the RD, but I'll keep it the same just for uniformity. Remember the RT is used to import and export VPNv4 routes to and from MP-BGP. You can use different
RTs for importing and exporting but I will use the same for both. So now we have configured our VRF and our associated RTs and RDs. Next we have to associate the customer's interface with this VRF. We do so by going into the configuration mode of our Gigabit 0/1 interface which is the
customer-facing interface on our PE, and we assign our VRF there like so. Now when we do this, we get a Syslog message telling us that the IP address we had originally configured on the interface has been removed. This is normal behavior when you assign a VRF to an interface that already
has an IP address. So we have to configure it again. And that's it for PE1! Let's quickly see the corresponding configuration on PE2. Now the RDs can be, but don't have to be, the same on the PEs since they are used to uniquely identify the networks on the locally connected CE. Conversely,
the RTs should be the same on both ends so that they are exported to the appropriate customer VRF when advertised. To keep things tidy, it is always best practice to keep them the same so you can easily identify to which customer they belong. Now finally, we come to the configuration
of our multi-protocol BGP, where we will configure an iBGP peering between the PE routers so they can share the VPNv4 routes. We start off with the iBGP peerings. Let's take a look at the configuration in PE1. We do so with our normal BGP configuration using the local AS of 100 and the iBGP neighbor of
4.4.4.4 which is PE2. We also set the source of our iBGP updates to the local loopback interface. Now this is where multi-protocol BGP comes in. Here we configure our BGP peering to share VPNv4 routes using the address family VPNv4, and we activate PE2 as our neighbor for sharing these
routes. Now this will automatically enable another feature of BGP. Take a look at the resulting configuration of BGP in PE1. We see that the PE router automatically added the `send-community extended` feature. This is necessary because our RTs are shared using extended BGP communities.
Now to complete our configuration, let's take a look at the counterpart configuration on our PE2 router. Here we see the iBGP peering with PE1 is configured and we also enable the VPNv4 address family so that iBGP is able to share those VPNv4 routes which are composed of the
IP address of the destination prepended with that RD value, making the VPNv4 routes unique on the MPLS infrastructure. So at this point, we have completed our configuration of the ISP network for VPNv4 routes using MPLS on Cisco IOS routers. In the next video, we'll continue this configuration
with the setup of the customer devices. We'll also go through several verification steps to see how this whole setup operates in action, so stay tuned for the next video! I hope you found this video useful and if you have please click that thumbs-up button. If you have any questions feel
free to leave a comment below and subscribe to get updates to newly published videos. I'm Lazarus at telecomTech, I hope this has been helpful for you and I'd like to thank you for watching!
The RD (e.g., 100:1) creates a unique VPNv4 prefix to distinguish overlapping customer IP addresses across the MPLS backbone. The RT controls which routes are imported into or exported from a VRF; using the same RT on both PEs ensures consistent route sharing for a given customer VPN, while the RD ensures prefixes remain globally unique.
MPLS VPNv4 routes enable service providers to securely and scalably transport multiple customer VPNs over a shared MPLS backbone. This configuration allows PEs to exchange customer routes using MP-BGP with VPNv4 prefixes, isolating each customer's traffic with VRFs while leveraging MPLS labels for efficient forwarding across P routers.
OSPF establishes reachability between core-facing interfaces and loopbacks in the MPLS backbone, which is essential for LDP to form label-switched paths. A key rule is to advertise all loopback interfaces and core-facing networks via OSPF, while setting customer-facing interfaces as passive to avoid unnecessary adjacencies and security risks.
When applying a VRF to an interface (e.g., with ip vrf forwarding GREEN), the existing IP address is automatically removed. You must then reapply the IP address using the ip address command, as the VRF assignment resets the interface's Layer 3 configuration.
The address-family vpnv4 block is required to enable MP-BGP to exchange VPNv4 routes (which include both IPv4 prefixes and extended community attributes like RTs). When activated under this address family, the send-community extended command is automatically applied, ensuring RT values are shared between PE routers for proper route import/export.
LDP distributes MPLS labels for the backbone's internal routes, enabling label-switched forwarding across P and PE routers. However, LDP should only be enabled on core-facing interfaces (and all P router physical interfaces) via mpls ip; it must not be enabled on customer-facing interfaces to prevent label distribution to CE routers.
The next steps involve configuring the customer CE routers, verifying VPNv4 route exchange between PEs, and testing label switching operation. Customer routes will then be redistributed into MP-BGP via VRFs, enabling end-to-end MPLS VPN connectivity across the backbone.
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