Figure 1 shows a typical single-segment PWE3 networking. A carrier establishes a MAN to provide PWE3 services. A customer has two branches far from each other. If the customer use leased lines to connect the branches, it will result in high costs. The customer can request the carrier to establish a PWE3 connection between PE1 in branch A and PE2 in branch B.
PWE3 ensures stable Layer 2 communication between branches A and B, facilitates networking, and allows branches A and B to communicate with each other like on a LAN.