VXLAN IP gateways separated from VTEPs

As shown in Figure 11, an independent VXLAN IP gateway connects a Layer 3 network to a VTEP. VMs send Layer 3 traffic in Layer 2 frames to the gateway through VXLAN tunnels. When the tunneled VXLAN packets arrive, the VTEP terminates the VXLANs and forwards the inner frames to the gateway. In this gateway placement design, the VTEP does not perform Layer 3 forwarding for VXLANs.