Multiprotocol Label Switching (MPLS) is used in Service Provider Networks because of its fast packet forwarding mechanism. MPLS is a Wide Area Network (WAN) technology. This system concern about MPLS on Virtual Private Networks (VPN). MPLS creates two types of VPNs. One is Layer 3 MPLS VPN and other one is Layer 2 MPLS VPN. In this system, those two VPNs are configured in order to understand how MPLS VPNs work on different layers. And this system also focus on a performance analysis of Layer 2 MPLS VPN and Layer 3 MPLS VPN with performance parameters such as throughput and delay (end-to-end). Graphical Network Simulator-3 (GNS3) is used to configure Layer 2 MPLS VPN and Layer 3 MPLS VPN.

Keywords : MPLS; Layer 2 MPLS VPN; Layer 3 MPLS VPN.