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VXLAN defines a MAC-in-UDP encapsulation scheme where the original Layer 2 frame has a VXLAN header added and is then placed in a UDP-IP packet. With this MAC-in-UDP encapsulation, VXLAN tunnels Layer 2 network over Layer 3 network.
â¢On switches running the IP base or IP services feature set, use the sdm prefer vlan global configuration command only on switches intended for Layer 2 switching with no routing. When you use the VLAN template, no system resources are reserved for routing entries, and any routing is done through software.