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What is Virtual Network 

Azure Virtual Networks (VNets) are the fundamental building block of your private network in Azure. VNets enable you to build complex virtual networks that are similar to an on-premises network, with additional benefits of Azure infrastructure such as scale, availability, and isolation.

Each VNet you create has its own CIDR block and can be linked to other VNets and on-premises networks as long as the CIDR blocks don't overlap. You also have control of DNS server settings for VNets, and segmentation of the VNet into subnets.


Capabilities of Azure Virtual Networks

Azure VNets enable resources in Azure to securely communicate with each other, the internet, and on-premises networks.

  • Communication with the internet. All resources in a VNet can communicate outbound to the internet, by default. You can communicate inbound to a resource by assigning a public IP address or a public Load Balancer. You can also use public IP or public Load Balancer to manage your outbound connections.
  • Communication between Azure resources. There are three key mechanisms through which Azure resource can communicate: VNets, VNet service endpoints and VNet peering. Virtual Networks can connect not only VMs, but other Azure Resources, such as the App Service Environment, Azure Kubernetes Service, and Azure Virtual Machine Scale Sets. You can use service endpoints to connect to other Azure resource types, such as Azure SQL databases and storage accounts. When you create a VNet, your services and VMs within your VNet can communicate directly and securely with each other in the cloud.
  • Communication between on-premises resources. Securely extend your data center. You can connect your on-premises computers and networks to a virtual network using any of the following options: Point-to-site virtual private network (VPN), Site-to-site VPN, Azure ExpressRoute.
  • Filtering network traffic. You can filter network traffic between subnets using any combination of network security groups and network virtual appliances like firewalls, gateways, proxies, and Network Address Translation (NAT) services.
  • Routing network traffic. Azure routes traffic between subnets, connected virtual networks, on-premises networks, and the Internet, by default. You can implement route tables or border gateway protocol (BGP) routes to override the default routes Azure creates.

Azure Virtual Networks

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