So I have TE configured on an EoMPLS VPN, but it doesn't seem to be throttling anything.
Traffic is only throttled if I put a service-policy on the PE subinterface.
When you set the ip rsvp bandwidth on the PE-PE interfaces and specify tunnel mpls traffic-eng bandwidth on the tunnel, isn't traffic supposed to get throttled when the traffic on the tunnel exceeds what's configured by the tunnel bandwidth command?
QoS implementedwith the widely used DiffServ model, treats resources independently. There is no QoS signalling involved in DiffServ. Thus every interface along the whole traffic path, which potentially can be congested needs to be configured separately. Do not forget potential backup pathes in your QoS design.
In other words: for a customer it is pretty irrelevant, WHERE a packet is dropped in the SP network - gone is gone. Thus the SP has to make sure on every interface- from input through core to output - that the SLAs are met.
In simple words:
MPLS TE is a complex way of doing IP routing, nothing more and nothing less. So MPLS TE helps you to direct the traffic to a desired path, QoS will make sure that important traffic is treated properly along this path.
You might need to implement both technologies to meet your service offerings.
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