IP VPN vs MPLS VPN

Security is an issue anytime you send data into a cloud network. One way to ensure that your data cannot be observed or tampered with is to build your own WAN network from point to point private lines. Another approach is to use a virtual private network that runs on resources that you don’t have exclusive use of. That’s what is meant by a VPN.

IPsec lets you create a virtually private network out of the Internet, a completely public network. This is generally what is meant by the term IP VPN. One big advantage of this IP VPN approach is that laptop computers can be configured with this system to give corporate access to remote or home workers. All that’s needed is the VPN enabled computer and a broadband Internet connection.

The MPLS network doesn’t have public access, but it is a shared resource. Your costs are reduced compared to dedicated private lines because the cost of regional, national or international connections are amortized across the total user base.
What makes MPLS networks a VPN solution is that your data connections are essentially tunneled through the cloud wrapped in proprietary routing labels. You define your connections and the network operator instructs the MPLS network on how to route your packets. 

MPLS networks are often referred to as MPLS VPN because they are inherently virtually private.MPLS networks offer performance guarantees for bandwidth, jitter, latency and packet loss. That makes MPLS VPN a popular choice for mission-critical business applications.