One of the most common types of VPNs used by businesses is called a virtual private dial-up network (VPDN). A VPDN is a user-to-LAN connection, where remote users need to connect to the company LAN. Another type of VPN is commonly called a site-to-site VPN. Here the company would invest in dedicated hardware to connect multiple sites to their LAN though a public network, usually the Internet.
Privacy features – The privacy features you want/need really varies for each person and depends on your threat model. For a higher level of online anonymity, you could use a multi-hop VPN, or possibly chain different VPN providers together. This could be done by using one VPN on a router, and then connecting through a second VPN on your computer. This can also be accomplished using virtual machines.
A P device operates inside the provider's core network and does not directly interface to any customer endpoint. It might, for example, provide routing for many provider-operated tunnels that belong to different customers' PPVPNs. While the P device is a key part of implementing PPVPNs, it is not itself VPN-aware and does not maintain VPN state. Its principal role is allowing the service provider to scale its PPVPN offerings, for example, by acting as an aggregation point for multiple PEs. P-to-P connections, in such a role, often are high-capacity optical links between major locations of providers.
Developed by Institute of Electrical and Electronics Engineers, VLANs allow multiple tagged LANs to share common trunking. VLANs frequently comprise only customer-owned facilities. Whereas VPLS as described in the above section (OSI Layer 1 services) supports emulation of both point-to-point and point-to-multipoint topologies, the method discussed here extends Layer 2 technologies such as 802.1d and 802.1q LAN trunking to run over transports such as Metro Ethernet.
CHAP is an improvement over PAP because the clear-text password is not sent over the link. Instead, the password is used to create a hash from the original challenge. The server knows the client’s clear-text password and can, therefore, replicate the operation and compare the result to the password sent in the client’s response. CHAP protects against replay attacks by using an arbitrary challenge string for each authentication attempt. CHAP protects against remote-client impersonation by unpredictably sending repeated challenges to the remote client throughout the duration of the connection.
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VPNs also cloak your computer's actual IP address, hiding it behind the IP address of the VPN server you're connected to. IP addresses are distributed based on location, so you can estimate someone's location simply by looking at their IP address. And while IP addresses may change, it's possible to track someone across the internet by watching where the same IP address appears. Using a VPN makes it harder for advertisers (or spies, or hackers) to track you online.