Cloud VPN vs a Dedicated Interconnect: Which One Is Better?

Cloud VPN vs Dedicated Interconnect

Migrating to the cloud unlocks a world of agility and scalability, but the path to optimal connectivity isn’t always straightforward. Cloud VPNs, familiar and readily available, seem like a well-worn road. But dedicated interconnects, promising unparalleled speed and ironclad security, present a tempting detour. Which route leads to cloud connectivity bliss, Cloud VPN vs Dedicated Interconnect?

This post will dissect the strengths and limitations of both Cloud VPN and Dedicated Interconnect, drawing from expert sources to aid you in making a well-informed decision for your cloud connectivity needs.

What Is a Cloud VPN?

A Cloud VPN, or Virtual Private Network, serves as a secure, encrypted pathway between a user’s device and a corporate network, typically over the internet. It is like having your secret tunnel through the vast and wild internet.

It’s a secure way for businesses to connect with the cloud and access resources without worrying about pesky hackers trying to get their grubby paws on sensitive data. 

A Cloud VPN creates a virtual tunnel over the public internet, encrypting and keeping your data safe from prying eyes. It’s all about extending your on-premises network to the cloud and securely connecting with your cloud-based applications. With a Cloud VPN, you can work from anywhere, knowing your connection is locked tight and your data is protected.

How Does a Cloud VPN Work?

A cloud VPN serves as a means of connecting remote users or networks to resources hosted in the cloud. One specific type of cloud VPN is the Remote Access VPN, which allows individual users to securely access cloud resources from anywhere using their own devices.

The remote user or network initiates a connection with the cloud provider’s VPN gateway, the secure entry point into the cloud environment. Once the connection is established, the VPN gateway takes on the crucial role of authenticating and encrypting the traffic, ensuring that sensitive information remains secure during transmission.

What is a Dedicated Interconnect?

A Dedicated Interconnect is a networking solution offered by cloud providers, like Google Cloud, that enables organizations to establish a dedicated and private connection between their on-premises network and the cloud environment. It provides a direct physical link that bypasses the public internet, resulting in enhanced security, lower latency, and higher bandwidth than a virtual private network (VPN).

Unlike a VPN, which uses encryption to secure data transmitted over the internet, a Dedicated Interconnect establishes a direct and dedicated connection. This dedicated link offers a more reliable and consistent network experience, making it suitable for organizations with large data transfer requirements, latency-sensitive applications, or strict security and compliance needs.

How Does a Dedicated Interconnect Work?

A Dedicated Interconnect is a networking solution that enables organizations to establish a dedicated and private connection between their on-premises network and the cloud environment. It involves physically provisioning network infrastructure to establish a direct link between the organization’s premises and the cloud provider’s network.

Setting up a Dedicated Interconnect begins with network building, where the organization establishes a private connection with the cloud provider by deploying dedicated network equipment. This equipment is usually installed in a colocation facility or the organization’s data center.

Once the network infrastructure is in place, the organization configures the connection parameters, including IP addressing, routing, and security policies. The cloud provider then establishes a peering relationship with the organization’s network, allowing traffic to flow between the two environments over the dedicated connection.

The In-Depth Comparison: Cloud VPN vs. Dedicated Interconnect

As cloud computing continues to take center stage, companies are grappling with deciding which connectivity solution to go for, between Cloud VPN and Dedicated Interconnect. Here is an in-depth comparison of Cloud VPN vs Dedicated Interconnect, highlighting their differences and use cases to help businesses decide which one to adopt.


When comparing Cloud VPN vs Dedicated Interconnect, it is important to consider each solution’s difference in speed. As the name suggests, Cloud VPN provides virtual private network connectivity over the internet. The speed of Cloud VPN is influenced by factors such as network congestion and latency, which can vary based on internet conditions. 

On the other hand, Dedicated Interconnect offers a dedicated and private connection between the on-premises network and the cloud provider’s network. This dedicated link ensures a more consistent and reliable connection, resulting in higher speeds and lower latency compared to Cloud VPN. Additionally, Dedicated Interconnect allows for network segmentation, which enhances performance by isolating traffic and optimizing data flow. 


Latency is necessary when comparing Cloud VPN vs Dedicated Interconnect for cloud network connectivity. Cloud VPN operates over the internet, which introduces variable network conditions that can impact latency. Due to its reliance on public networks, Cloud VPN latency can be higher than Dedicated Interconnect. 

On the other hand, Dedicated Interconnect provides a dedicated private connection between the on-premises network and the cloud provider’s network. This dedicated link eliminates the uncertainty associated with internet routing and congestion, resulting in significantly lower latency. Additionally, Dedicated Interconnect allows for optimized routing and traffic isolation, further improving latency performance.


Reliability is essential to consider when comparing Cloud VPN vs Dedicated Interconnect. A dedicated interconnect offers a more reliable connection than a VPN. This is due to the dedicated bandwidth between the cloud provider and your data center, eliminating bandwidth contention issues. 

Cloud VPN relies solely on the public internet, making it vulnerable to network congestion and internet outages, leading to disruptions in the service. Additionally, Dedicated interconnects offer Service Level Agreements (SLAs) with an uptime guarantee, making them a more reliable option for mission-critical applications.  Furthermore, with dedicated interconnects, cloud network security is improved since the communication occurs over a private and dedicated link, which means that traffic isn’t exposed to the public internet.

Cost Analysis

When comparing Cloud VPN vs Dedicated Interconnect, it is essential to consider the cost implications of each option. Cloud VPN is more cost-effective for connecting to a cloud network, as it operates over the public internet and does not require any additional physical infrastructure. 

However, the costs associated with VPNs can vary depending on the amount of data transferred and the number of connections needed, potentially resulting in higher expenses for larger organizations with significant network traffic. On the other hand, Dedicated Interconnect provides a dedicated and private connection between your on-premises data center and the cloud network.

Cloud VPN vs. Dedicated Interconnect: Which One Is Better?

When choosing the right network connectivity solution for your business, carefully evaluating each option’s pros and cons is essential. Cloud VPN vs Dedicated Interconnect are two popular choices in this space, each with strengths and considerations. Here’s a comparative analysis of the two:

Cloud VPN:

  • Function: Provides secure connectivity over the public internet.
  • Advantage: Offers flexibility and ease of setup.
  • Suitability: Ideal for smaller workloads or remote sites.
  • Investment: Requires less upfront investment.
  • Performance: May experience slower performance compared to Dedicated Interconnect.

Dedicated Interconnect:

  • Function: Offers private, high-performance connections between your on-premises network and Google Cloud.
  • Reliability: Provides consistent and reliable data transfer.
  • Suitability: Ideal for large-scale, mission-critical workloads.
  • Investment: Requires an upfront commitment and equipment setup.
  • Bandwidth: Ensures higher bandwidth availability compared to Cloud VPN.

Both options can be complemented with features like web protection services to enhance security. The decision should align with your specific business requirements and objectives.

Next Steps: Implementing Your Ideal Cloud Connectivity Solution

It is important to have both Cloud VPN and Dedicated Interconnect to cover various use cases and meet different business needs. Together, they form a comprehensive solution, enabling businesses to access cloud resources securely and efficiently.

To explore advanced networking and security capabilities in implementing a unified network security platform, choose Perimeter 81. We provide one of the most robust and most powerful cloud VPN solutions on the market.

Get Perimeter81 VPN right now and supercharge your security.


What is the difference between a GCP dedicated Interconnect and partner Interconnect?
Deciding between a GCP Dedicated Interconnect and a Partner Interconnect boils down to control and performance versus simplicity and cost. Dedicated Interconnect offers a private, ultra-low latency link, ideal for critical apps, but requires self-management. Partner Interconnect leverages existing service provider networks for a more straightforward setup and broader coverage, potentially at a lower cost for lower bandwidth needs.
What is the difference between cloud VPN and traditional VPN?
Cloud and traditional VPNs offer secure remote access but differ in their network infrastructure. Traditional VPNs route all traffic through a central hub, potentially increasing latency for cloud-based resources. Cloud VPNs, on the other hand, establish direct connections between users and cloud deployments, optimizing performance for cloud-centric workloads.
Why might you use cloud interconnect and direct peering instead of VPN?
Cloud Interconnect and Direct Peering excel in specific areas where VPNs fall short. Their dedicated, private connections minimize latency and jitter for performance-critical needs like real-time apps or large data transfers. Security-conscious workloads benefit from Direct Peering’s elimination of public internet as a transit point. Cost-effectiveness comes into play for high-bandwidth scenarios, where dedicated connections trump pay-as-you-go VPN models.