What is a private network?

What is a private network?

In internet networking, a private network is a network that is not connected to a public network and is not available to the general public. It uses the private address space of IP addresses, which are unique addresses within that particular network that identify a device or local network.   Private networks can be customized to suit customers' needs and may include elements such as unique operating functions or infrastructure. 

How does a private network work?

Private networks are secured and allow access only to specific devices or users. Devices and users communicate internally and externally using network address translation (NAT) devices. Typically, NAT is a networking process that allows devices within a private network to share one public IP address. It achieves this using a router, which is assigned a public IP address alongside a private IP address for the private network. 

The router (or NAT device) connects the private network to the public network. When a device connected to a private network sends data to a device on a public network, the router catches the data and replaces the source IP address with its own public IP address. The router (NAT device) can send the data to the destination device. 

In reverse, when the destination device sends data back to the router, the router catches the data and replaces the public IP address with the initial source IP address. The device sends the data to the initial source device. 

Types of private networks

Private networks come in various forms, each designed to meet specific connectivity and security needs.

• A local area network (LAN) is a network with a group of devices connected in a small geographic area, typically located in one building, like a home or office, that typically share a single point of internet connection. A LAN can be large or small. For example, it may be a home network with a single user or an enterprise network with thousands of devices or users in an office, school, or other entity. Local area networks connect devices with a limited area, which is its primary distinction against other types of private networks. 
• A wide area network (WAN) connects various types of networks over great distances. Generally, a WAN utilizes multiple routes and switches and is designed to support network connectivity over large distances. While the definition of what makes up a WAN is broad, it is technically any large network that spreads over a large geographical area. 
• A virtual private network (VPN) is a private network service that connects a device like a cellphone or laptop to a remote server owned by a VPN provider that encrypts online traffic, changes the initial IP address, and increases privacy. Downloading a VPN is a simple way to gain many benefits from a private network. 
• A metropolitan area network (MAN) is a network that links computers within a metropolitan area, including multiple towns or cities, one large city, or a large area with multiple buildings. A MAN is bigger than a LAN but smaller than a WAN. The term metropolitan indicates the size of the network, not the users of the area it may serve, and a MAN doesn’t have to be in an urban area. 
• An enterprise private network (EPN) is a private network that utilizes various technologies to provide secure network connections. Enterprise networks are created using LANs, WANs, and the cloud to support data exchange, analyze network activity, and run business processes. These networks limit connectivity access and are only available to specific facilities, users, and devices that serve the needs of a large business. 
• A storage area network (SAN) provides access to block-level data storage. It usually contains storage components, switches, hosts, and storage devices that are connected using different topologies, technologies, and protocols. 
• A personal area network (PAN) connects electronic devices within a user's personal workspace. Its size may range from a few meters to a few centimeters. PANs can connect laptops, tablets, and printers. 

Benefits of a private network connection

The most significant benefits of private networks include the following: 

• High network performance. Private networks allow network management teams to create dedicated bandwidth capacity and range. There is no bandwidth throttling. They can set up reliable bandwidth and low latency for machines, applications, and devices. 
• Stronger security. Private networks limit who can access them, which increases security and makes them stronger against malicious entities than public networks. Traffic is on-site, which reduces potential cyber threats such as man-in-the-middle attacks. 
• Control. Private networks allow enterprises and organizers to control their devices and how they’re connected. They can also control how they generate data and manage traffic. 

Drawbacks of a private network connection

While setting up secure, private network connections has many benefits, it also has disadvantages. 

• Cost. Creating and maintaining private network connections is expensive. While it may be the cost of doing business for large companies and organizations, it can be cost-prohibitive for smaller operations or individual users. 
• Harder implementation. Private networks can be complex to design and scale. Many support systems, such as dedicated infrastructure, will need to be in place to ensure secure connectivity. The proper number of servers and network capacity must also be available. 
• Requirements for human resources. Organizations operating dedicated private networks must also hire skilled network management teams. These teams must be able to handle potential outages effectively and support network infrastructure, as outages are a big nuisance. 

A private network connection vs. a public network connection

Public networks are available to anyone to use, while private networks offer exclusive access to specific organizations or users. Private connections are more secure than public networks if properly configured, but public networks provide a higher level of accessibility and convenience. 

While both have their pros and cons, their differences make them appealing to different target audiences.

Common reasons users or organizations choose a public network: 

• They are cost-effective.
• There are no entry barriers.
• They are easily accessible.
• They are scalable.
• They are widely available.
• It is unnecessary to hire a high-level management team for the network. 

Common reasons users or organizations choose a private network: 

• They have increased security for sensitive data.
• They enjoy a high quality of service.
• They have more privacy features than a public network.

A private network connection vs. a VPN

A private network connection may utilize one of several network connection types to allow individuals and enterprises safe connections between devices and the internet. 

Virtual private networks (VPNs) are a specific type of dedicated private network service that uses tunneling protocols to shield a user's IP address and online traffic. They allow a device to connect to a remote server owned by a VPN organization and then offer an extra layer of protection. 

Many businesses or individuals protect their electronics by connecting to the public internet with virtual private networks. They’re a low-cost entry to private networks and offer many of the same benefits for sensitive data. 

Why would you use a private network?

Why many opt for private networks: 

• They offer more powerful safeguards for personal data and better protection for companies with multiple devices. 
• A team controls network traffic due to having complete network control.  
• Dedicated private networks allow entities to customize their connectivity options. 
• Improved reliability means a business or entity can operate at full throttle unless dealing with internal issues.