Virtual network peering and VPN gateways both support the following connection types:

  • Virtual networks in different regions.
  • Virtual networks in different Azure Active Directory tenants.
  • Virtual networks in different Azure subscriptions.
  • Virtual networks that use a mix of Azure deployment models (Resource Manager and classic).
ItemVirtual network peeringVPN Gateway
LimitsUp to 500 virtual network peerings per virtual network (see Networking limits).One VPN gateway per virtual network. The maximum number of tunnels per gateway depends on the gateway SKU.
Pricing modelIngress/EgressHourly + Egress
EncryptionSoftware-level encryption is recommended.Custom IPsec/IKE policy can be applied to new or existing connections. See About cryptographic requirements and Azure VPN gateways.
Bandwidth limitationsNo bandwidth limitations.Varies based on SKU. See Gateway SKUs by tunnel, connection, and throughput.

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