Vnet peering vs vnet to vnet connections

Question

Hi

Can you please tell me can we create "vnet peering" between two different subscriptions with signal tenant or different subscriptions with different tenants?

If we have a good and easy way "vnet peering" to connect diffeent vnets then why we use "vnet to vnet connection"? what is the core different between "vnet peering" and "vnet to vnet connection"?

Regards

Answer 1

Hi HASSAN BIN NASIR DAR

Greetings,

Welcome to the Microsoft Q&A Platform. Thank you for reaching out & I hope you are doing well.

Sure, I can help with that!

VNet Peering Between Different Subscriptions and Tenants: Yes, you can create VNet peering between virtual networks (VNets) in different subscriptions, whether they are within the same tenant or across different tenants. When peering VNets across different subscriptions, you need to ensure that the user initiating the peering has the necessary permissions in both subscriptions. For VNets in different tenants, you can add the user from each tenant as a guest in the opposite tenant and assign them the Network Contributor role to the virtual network

Refer: https://learn.microsoft.com/en-us/azure/virtual-network/create-peering-different-subscriptions?tabs=create-peering-portal

Refer: https://github.com/MicrosoftDocs/azure-stack-docs/blob/main/azure-stack/user/virtual-network-peering.md

Difference Between VNet Peering and VNet-to-VNet Connection: VNet peering and VNet-to-VNet connections are both methods to connect VNets, but they have some key differences:

• VNet Peering is ideal for connecting VNets within the same region or across subscriptions, providing a straightforward and efficient way to enable communication between resources. Use Case: Ideal for scenarios where you need fast, private, and secure connectivity between VNets within the same or different regions.
• VNet-to-VNet Connection is more suited for scenarios requiring secure connections over the internet or between different regions, albeit with added complexity and potential latency. Use Case: Suitable for scenarios where you need to connect VNets across different regions or when you need to connect VNets to on-premises networks using VPN gateways.

Core Differences Between VNet Peering and VNet-to-VNet Connection:

Feature	VNet Peering	VNet-to-VNet (VPN Gateway)
Connection Type	Direct, low-latency, and seamless connection	Secure, encrypted tunnel over the public internet or Azure backbone
Connection Type	Direct, low-latency, and seamless connection	Secure, encrypted tunnel over the public internet or Azure backbone
Dependencies	No VPN gateway required	Requires VPN Gateway resources in both VNets
Latency	Very low latency, as it uses Azure’s backbone network	Higher latency due to the encryption overhead and routing through VPN gateways
Cost	Generally lower, as it doesn't require VPN gateways	Higher cost, as VPN gateways incur additional charges
Region Support	Supports both same-region and global (cross-region) peering	Supports cross-region, on-premises-to-Azure, and hybrid connections
Traffic Encryption	No encryption (uses private IPs)	Traffic is encrypted over the VPN tunnel
Use Case	Simple, low-cost connectivity between VNets, often within the same organization	Secure, encrypted connection between VNets, including hybrid cloud or multi-region scenarios

Hope this clarifies

Cheers,

Ganesh

---

Please don’t forget to close the thread by clicking "Accept the answer" wherever the information provided helps you, as this can be beneficial to other community members.