MPLS network consists of the following components:

• MPLS Virtual Private Networks (VPNs)—These provide the network operators with the option of deploying various value added services like connectionless services, centralized networking and scalable, secure networks.
• Layer 3 VPNs— It is based on Border Gateway Patrol
• Layer 2 VPNs— This includes any Transport over MPLS (AToM)
• MPLS Traffic Engineering (TE)— MPLS allows efficient traffic engineering and provides proper utilization of network bandwidth.
• MPLS Quality of Service (QoS)— MPLS allows the network operators to give preferential treatment to certain types of traffic.