VPN stands for virtual private network. A virtual private network (VPN) is a technology that creates a safe and encrypted connection over a less secure network, such as the internet.
The name only suggests that it is a Virtual “private network” i.e. a user can be the part of a local network sitting at a remote location. It makes use of tunneling protocols to establish a secure connection.
Lets understand VPN by an example:
Think of a situation where the corporate office of a bank is situated in Washington, USA. This office has a local network consisting of say 100 computers. Suppose other branches of the bank are in Kathmandu and Tokyo. We need to establish a secure connection between the head office and branch office. VPN lets us overcome this issue in an effective manner.
The situation is described below: