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Isolated Network

An Isolated Network in Apache CloudStack is a private guest network dedicated to a single account. It is not part of a VPC. CMP creates and manages isolated networks through network offerings, virtual routers, public IP behaviour, and optional network billing.

Setup vs feature

What is an Isolated Network?​

In Advanced networking, CloudStack uses isolated guest networks so tenants get Layer‑2 isolation (typically VLAN or VXLAN). Traffic on one account’s isolated network is not visible to other tenants.

ConceptBehaviour
Tenant isolationOne isolated network → one account (or project scope as configured)
Virtual Router (VR)Every isolated network gets its own dedicated VR as the gateway
Built-in servicesThe VR typically provides DHCP, DNS, and Source NAT so VMs can talk to each other and reach the internet
Inbound accessNo external access to VMs unless you add Port Forwarding, Static NAT, Load Balancing, or VPN (when the network offering supports those services)
ThroughputCap guest traffic (for example, 200 Mb/s) via the network offering / network rate

CloudStack reference: Networking and traffic (guest networks, virtual router, Source NAT).

Isolated vs VPC
Isolated NetworkVPC
StructureSingle guest networkOne or more tiers inside a VPC
Offering typeNetwork offeringVPC offering + VPC guest network offerings
Virtual routerOne VR per isolated networkOne VPC VR for the VPC
CMP packagesIsolated / Network packages (when billing enabled)Virtual Router/VPC packages

See also VPC Network.

Isolated Networks and Virtual Routers​

When an isolated network is created, CloudStack deploys a virtual router. VR capacity comes from a system service offering whose System VM type is Domain Router.

As a CloudStack admin, create multiple system service offerings for different workloads, then attach them to network offerings:

WorkloadWhy it mattersSizing guidance
High connection countVR tracks many NAT connections (busy web servers)More memory for connection tracking
Heavy VPN / encryptionSite-to-site VPN encrypts/decrypts every packetHigher CPU MHz / cores
Load balancingVR distributes traffic across many VMsMore CPU for packet processing

Chain in CloudStack:

System Service Offering (Domain Router)
↓
Network Offering (isolated, with services + linked system offering)
↓
Isolated Network → Virtual Router capacity

The same VR sizing ideas apply to VPC routers; see How VPC virtual routers work in CloudStack.

CloudStack Isolated Network Offerings and sync with CMP​

Default offering (most deployments)​

During Cloud Provider setup, CMP commonly uses the default CloudStack network offering:

DefaultIsolatedNetworkOfferingWithSourceNatService

When an isolated network is created from CMP with this default configuration, that offering is used automatically.

Default offering and billing

Isolated networks created with this default offering configuration are not billed as a network package in CMP. Providers who keep isolated networks free typically stay on this model.

Multiple offerings (tiered networks)​

You are not limited to one isolated network offering:

  1. Create multiple isolated network offerings in CloudStack
  2. Map each to a different system service offering (different VR size / features)
  3. Sync / map those offerings in CMP (network packages on the rate card)
  4. Apply billing to the offerings you want to sell

Use this when you need paid tiers (for example Basic vs High-Performance VR, VPN/LB enabled offerings, or different network rates).

Ensure network offerings include services customers need (for example User Data for password-enabled templates and guest initialization). Missing User Data causes the same class of deploy failures as on VPC guest offerings — see Virtual Router/VPC — User Data.

Isolated network billing​

Most providers leave isolated networks free. Recent CMP versions support billing for isolated networks when you create network packages and enable the related flags.

When you define pricing for an isolated network package, include:

Cost componentNotes
Virtual RouterSystem VM size (CPU, memory), services, and network rate
Source NAT public IPEvery isolated network with Source NAT gets one public IP by default
Package pricePut Source NAT IP cost inside the network package — see below

enable_network_billing​

Set enable_network_billing to true so CMP can bill automated isolated networks created as part of VM creation (when network billing is part of your commercial model).

Without this flag and matching packages, CMP follows the free behaviour.

Source NAT IP billing​

CMP does not charge separately for the isolated network’s Source NAT public IP as a standalone IP line item in this workflow.

If you want customers to pay for that IP, include its cost in the isolated network package price — do not assume it will appear on IP Address package billing for the Source NAT address.

Additional public IPs acquired for second and later VMs are billed via normal IP Address packages.

Source NAT IP reuse — CMP workflow​

CMP intentionally reuses the isolated network’s Source NAT public IP. Many providers offer isolated networks free of charge, so reusing the SNAT IP avoids allocating an extra public IP for the first VM that needs public access.

StepBehaviour
First VM with public accessCMP uses the network’s Source NAT IP, associates it with the VM via port forwarding, and charges for that public access according to your IP / network pricing rules (SNAT itself stays owned by the network)
Additional VMs with public access (Create Instance)CMP acquires a new public IP and charges for it. Association uses Static NAT or Port Forwarding per Default Network Strategy. Manual association later is the customer’s choice.
VM deletion (SNAT case)CMP disassociates the IP from the VM but retains the IP on the isolated network
ReuseIf a new VM needs public access and the SNAT IP is free, CMP reuses the same Source NAT IP and reapplies port forwarding

Screenshot: CMP — public IP / Source NAT association on isolated network

Source NAT ignores Default Network Strategy

On isolated networks, the first public IP on a VM is the Source NAT IP. It can only use Port Forwarding, even if Default Network Strategy is set to Static NAT.

See Networks — Port Forwarding vs Static NAT.

VPC Source NAT is different

On VPC, the Source NAT IP cannot be used for VM or load balancer rules in CloudStack. Isolated-network SNAT reuse above applies to non-VPC isolated networks only. See Load Balancer — VPC Source NAT and IP Address — Source NAT IP reuse.

Last VM deletion and isolated network cleanup​

When the last VM in an isolated network is deleted:

  1. CMP can automatically delete the isolated network
  2. Related resources are released — virtual router, Source NAT IP, and other network resources

This is controlled from Cloud Provider Setup (Wizard Step 2 — Provider Config):

FieldTypical defaultEffect
Delete Network on Last VMYesIf Yes, CMP deletes the network when the last VM in it is deleted. If No, the empty network (and typically its VR / SNAT IP) can remain until deleted manually

Configure in Connecting CMP to CloudStack — Provider Config.

Operational impact

With Delete Network on Last VM = Yes, deleting the last VM frees the SNAT IP and tears down the VR. Creating a new VM later creates a new isolated network (new VR and a new Source NAT IP from the public pool). Plan quota and IP pool capacity accordingly.

End-user view​

When multiple isolated network offerings / packages are configured in CMP, the end user can choose the package that fits their needs during network creation (or during flows that create an isolated network).

Best practice — package names:

  • Use clear, meaningful names
  • Reflect the real differences: performance, VR size, VPN/LB support, network rate, or use case
    Examples: Isolated-Basic-200Mbps, Isolated-High-Performance-VPN, Isolated-LB-1Gbps

Screenshot: CMP — customer selects isolated network package