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Site-to-Site VPN Without MPLS: Mesh VPN for Multi-Location Businesses

May 1, 2026
Timo WevelsiepTimo Wevelsiep
birdhost

Site-to-Site VPN Without MPLS: Mesh VPN for Multi-Location Businesses

MPLS is too expensive and inflexible for mid-sized businesses. NetBird connects offices, branches, and cloud sites over encrypted WireGuard tunnels – no carrier dependency, from €99.90/month.

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Content notice: The information in this article was compiled to the best of our knowledge at the time of publication. Technical details, pricing, versions, licensing models and external content are subject to change. Please verify the information independently, especially before making business-critical or security-relevant decisions. This article does not constitute individual professional, legal or tax advice.

MPLS was the gold standard for site connectivity for years. But for mid-sized businesses in 2026, it's often the wrong choice: €300–4,000 per site per month, long provisioning times, carrier dependency, and zero flexibility for new locations or cloud connections. NetBird offers a modern alternative: encrypted WireGuard tunnels between offices, branches, and cloud environments – as a mesh VPN without central gateway, without carrier contracts, from €99.90/month for all sites.

Also worth reading: Fortinet VPN Alternative 2026 · OpenVPN Alternative 2026 · Setting Up a Business Network for Remote Employees


Quick Comparison: MPLS vs. Mesh VPN (NetBird)

Criterion MPLS NetBird (birdhost)
Connection Dedicated line (carrier) Encrypted tunnel over internet
Cost €300–4,000/site/month from €99.90/month (all sites)
Encryption Not by default WireGuard (ChaCha20, always active)
Provisioning time Weeks to months Minutes
Carrier lock-in Yes (contract terms) No (uses existing internet lines)
Cloud connectivity Additional cost Included (one routing peer)
Quality of service ✓ (guaranteed bandwidth) ✗ (best-effort over internet)
Scaling New site = new contract Install routing peer, done
Open source ✓ (100%)
Managed service Carrier-managed ✓ (birdhost)

Table of Contents

Why MPLS No Longer Fits Mid-Sized Businesses

The Cost Problem

MPLS connections cost €300–4,000 per site per month – depending on bandwidth, location, and carrier. In rural areas without fiber infrastructure, prices trend toward the upper end. For a company with 3 sites, that quickly means €1,000–6,000/month – just for site connectivity.

Add to that:

  • Setup fees: €500–5,000 per site
  • Contract terms: 12–36 months, difficult to cancel
  • Bandwidth upgrades: New contract negotiations, new costs
  • Redundancy: Second MPLS line = double the cost

The Flexibility Problem

A new site needs a new MPLS line. Provisioning takes weeks to months – carrier availability checks, line installation, configuration. For companies that grow quickly, open branches, or need temporary sites (construction sites, trade shows, pop-up offices), that's too slow.

Cloud connections are particularly cumbersome with MPLS: AWS Direct Connect or Azure ExpressRoute cost extra and require separate carrier contracts.

The Security Problem

What many don't realize: MPLS is not encrypted. MPLS is a label-switching protocol that routes traffic across the carrier network – but doesn't encrypt the content. Security relies on the assumption that the carrier network is closed and trusted. Anyone wanting end-to-end encryption must additionally layer IPsec or a VPN on top.


The Alternative: Connecting Sites via Mesh VPN

How It Works

NetBird builds a mesh VPN between your sites. At each site, a routing peer is installed – a small Linux server, VM, or Docker container running the NetBird client. This routing peer makes the entire local network (LAN) accessible via NetBird.

Office Berlin (10.1.0.0/24)        Office Munich (10.2.0.0/24)
       │                                    │
  Routing Peer ◄──── WireGuard Tunnel ────► Routing Peer
       │            (direct, encrypted)           │
  LAN Devices                              LAN Devices
  (Servers, NAS,                           (Servers, NAS,
   Printers)                                Printers)
                         │
                    Cloud VPC (10.3.0.0/24)
                         │
                    Routing Peer
                         │
                    Cloud Servers

Devices on the LAN don't need a NetBird client. The routing peer forwards traffic – with NAT masquerading, so the source IP is hidden behind the routing peer's IP. For endpoint devices, traffic appears to come from the local network.

What This Means Concretely

  • Office Berlin can access servers in Office Munich – without a VPN client on every device
  • Cloud VPCs (AWS, Azure, Hetzner) are seamlessly connected – one routing peer in the cloud is enough
  • Remote employees access all sites via the NetBird client – identity-based, not network-based
  • New sites are connected in minutes – install routing peer, configure network route, done

High Availability

NetBird supports multiple routing peers per site. If you configure two routing peers at the same location, the second takes over automatically if the first fails – no manual intervention, no downtime. With MPLS, redundancy costs a second line.


Why Mesh VPN Instead of Classic Site-to-Site VPN?

Classic site-to-site VPNs (IPsec, OpenVPN) connect sites through a central gateway – typically a firewall appliance at headquarters. This creates three problems:

1. Hub-and-spoke bottleneck: All traffic between branches flows through headquarters. Branch A talks to Branch B? Traffic goes to HQ first, then back. Double latency, double bandwidth.

2. Single point of failure: If headquarters goes down, all branches are cut off from each other.

3. VPN on the firewall: The VPN gateway is simultaneously the firewall. Every VPN vulnerability is a firewall vulnerability – as the Fortinet CVE series impressively demonstrated.

NetBird as a mesh VPN solves all three:

  • Direct peer-to-peer connections: Branch A talks directly to Branch B – no detour through headquarters.
  • No central gateway: If one site goes down, the others continue communicating.
  • VPN decoupled from the firewall: The firewall stays responsible for perimeter security. VPN is a separate service.
Aspect IPsec/OpenVPN (hub-and-spoke) NetBird (mesh)
Topology Headquarters as gateway Direct between sites
Latency branch ↔ branch High (detour via HQ) Minimal (direct connection)
HQ goes down All branches disconnected Existing connections continue
Protocol IPsec or OpenVPN WireGuard (kernel-based)
Firewall dependency VPN = firewall function VPN independent of firewall
New site Firewall config, tunnel setup Install routing peer
Cloud connectivity Additional firewall rules One routing peer in VPC

MPLS vs. SD-WAN vs. Mesh VPN: Where Does NetBird Fit?

SD-WAN is often positioned as the MPLS successor. For mid-sized businesses, it's frequently overkill:

Aspect MPLS SD-WAN NetBird (Mesh VPN)
Cost €300–4,000/site/month €100–500/site/month + hardware from €99.90/month (all sites)
Hardware Carrier equipment SD-WAN appliance per site None (software-only)
QoS / traffic engineering ✓ (carrier-guaranteed) ✓ (application-aware) ✗ (best-effort)
Encryption ✗ (not native) ✓ (IPsec/AES) ✓ (WireGuard, always maximum)
Cloud integration Complex ✓ (one routing peer)
Zero trust Partial ✓ (identity-based)
Provisioning time Weeks–months Days Minutes
Vendor lock-in Carrier SD-WAN vendor ✗ (open source)
Managed service Carrier-managed Vendor/partner ✓ (birdhost)

SD-WAN is the right choice when you need complex traffic engineering: application-aware routing, QoS prioritization, hybrid WAN with MPLS backup. Typical use cases: VoIP-intensive environments, real-time trading platforms, sites with unreliable internet connections.

SASE platforms such as Cloudflare One bundle site connectivity, secure web gateway and access control into a single vendor network. That takes work off your plate, but it moves site traffic into a US-operated inspection layer. Which of those categories you actually need, and which can be solved sovereignly, is separated out in Cloudflare Zero Trust alternative: sovereign ZTNA.

NetBird (mesh VPN) is the right choice when you want to connect sites securely – without carrier contracts, without SD-WAN hardware, without per-site licenses. For most SMBs with 2–20 sites running office applications, file servers, ERP systems, and cloud services, a mesh VPN over the public internet is performant enough.


Setup: Site Connectivity with NetBird in 30 Minutes

Step 1: Deploy birdhost Instance

  1. Create account on portal.merkaio.com
  2. Deploy instance – choose plan, select region
  3. Open NetBird dashboard

Step 2: Install Routing Peer per Site

Set up a routing peer at each site – a Linux server, VM, or Docker container:

# Install NetBird client
curl -fsSL https://pkgs.netbird.io/install.sh | sh

# Connect to your birdhost instance
netbird up --management-url https://your-instance.birdhost.de

Step 3: Configure Network Routes

In the NetBird dashboard under Network Routes, add local subnets as routes:

  • Office Berlin: 10.1.0.0/24 → Routing Peer Berlin
  • Office Munich: 10.2.0.0/24 → Routing Peer Munich
  • Cloud VPC: 10.3.0.0/24 → Routing Peer Cloud

Step 4: Define Access Rules

Use the graphical web UI to define who can access which sites – identity-based, not IP-based.

Result: All sites are connected via encrypted WireGuard tunnels. LAN devices communicate across sites without a VPN client. Remote employees access all sites via the NetBird client.


Cost: MPLS vs. NetBird for 3 Sites, 3 Years

Item MPLS (3 sites) NetBird (birdhost Startup)
Line costs €900–12,000/month (3 × €300–4,000) €0 (uses existing internet lines)
Setup €1,500–15,000 ~30 minutes
Hardware Carrier equipment (incl. or surcharge) €0 (software-only)
Managed service Included in MPLS price €99.90/month (cancellable monthly)
Cloud connectivity AWS Direct Connect: €200+/month Included
Redundancy Second line (double cost) Second routing peer (free)
Total 3 years ~€32,400–432,000+ ~€3,596 (€99.90 × 36)

MPLS prices: estimate based on German market prices (€300–4,000/site/month). Actual prices vary by carrier, bandwidth, and location.

The cost savings aren't a rounding error. A single month of MPLS for three sites (€900–12,000) often costs more than an entire year of the birdhost flat rate for all sites combined (around €1,199).


When MPLS Is Still the Right Choice

MPLS has strengths that an internet-based VPN cannot replicate:

  • Guaranteed bandwidth: MPLS delivers assured bandwidth regardless of internet congestion. For latency-sensitive applications (real-time VoIP, video conferencing with SLA, trading platforms), this is essential.
  • Quality of service: MPLS prioritizes traffic classes at the network level – VoIP gets priority over email. An internet VPN cannot guarantee this.
  • Regulatory requirements: In some industries (financial sector, government), regulations mandate dedicated lines.

For most SMBs with standard office workloads – ERP, file servers, email, cloud applications – internet performance in 2026 is more than sufficient. The question isn't "Is internet fast enough?" but "Do I really need an MPLS line for €1,000/month to access the file server at the branch?"


Conclusion

MPLS was the right technology for the right time. But in 2026, with symmetric gigabit internet lines available for under €100/month and WireGuard encryption protecting every packet in real-time, there's no reason for most mid-sized businesses to pay €300–4,000 per site per month to a carrier.

NetBird connects sites directly over encrypted WireGuard tunnels – as a mesh, not hub-and-spoke. New sites are connected in minutes, cloud VPCs as easily as offices, and all access control is identity-based instead of IP-based. With managed NetBird hosting, operations become a managed service – without your own VPN infrastructure, without carrier contracts, at a predictable flat rate.

Try it now: Start your own NetBird instance via the merkaio self-service portal7 days free.

Recommended reading: Fortinet VPN Alternative 2026 · OpenVPN Alternative 2026 · Setting Up a Business Network for Remote Employees


Sources

Frequently Asked Questions

Can a mesh VPN replace MPLS?
For most mid-sized businesses: yes. A mesh VPN like NetBird connects sites over encrypted WireGuard tunnels across the public internet – with comparable security and significantly lower costs. MPLS remains valuable when you need guaranteed bandwidth and latency for real-time applications like VoIP or video conferencing and cannot compromise on quality of service.
How does site-to-site work with NetBird?
NetBird uses routing peers – devices at each site running the NetBird client that forward traffic for the local network. Devices on the LAN don't need a NetBird client. The connection between sites runs over encrypted WireGuard tunnels, direct peer-to-peer.
Do I need NetBird on every device in the office?
No. You install one routing peer per site – a small Linux server, VM, or container. This routing peer makes the entire local network accessible via NetBird. All other LAN devices (printers, NAS, servers) become automatically available without installing NetBird on them.
How much does MPLS cost compared to NetBird?
An MPLS connection costs €300–4,000/month per site, depending on bandwidth and location. NetBird via birdhost costs from €99.90/month for all sites combined – flat rate without per-site fees, cancellable monthly. With 3 sites, you typically save around 90% in recurring costs with NetBird.
Is a mesh VPN over the internet secure enough?
Yes. WireGuard encrypts every tunnel with ChaCha20, Curve25519, and Poly1305 – state-of-the-art cryptography that requires no configuration. There are no selectable cipher suites and therefore no misconfiguration possible. NetBird additionally offers identity-based access control, posture checks, and optional post-quantum protection via Rosenpass.
What happens if a site goes down?
With MPLS, the entire connection fails when the line is interrupted. With NetBird, you can configure multiple routing peers per site for high availability. If one peer fails, the next one takes over automatically – without manual intervention.
Can I also connect cloud sites (AWS, Azure, Hetzner)?
Yes. NetBird supports site-to-site for office networks, cloud VPCs, and on-premises infrastructure. A routing peer in the cloud makes the entire VPC accessible via NetBird – just like an office location.
Do I need SD-WAN instead of VPN?
SD-WAN makes sense when you need complex traffic engineering with QoS, application-aware routing, and hybrid WAN (MPLS + internet). For most SMBs that simply want to connect sites securely, a mesh VPN like NetBird is the simpler and cheaper solution – without SD-WAN hardware and licenses.
Timo Wevelsiep

Written by

Timo Wevelsiep

Founder, merkaio

Founder of merkaio. Managed NetBird VPN hosting. Focused on network security, zero-trust architecture and scalable VPN infrastructure.

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