MPLS (Multiprotocol Label Switching) uses IP addresses Ipv4 and Ipv6 to identify end points. It also helps intermediate switches and routers. MPLS technology is highly IP-compatible and can be easily integrated with the traditional IP networks. MPLS data flow are connection oriented and the packets of data that are being sent from one network to another are routed along pre-configured Label Switched Paths (LSPs).

MPLS and LSRs
Label Switched Routers (LSRs) are packet handling nodes. The data that is transferred over the networks with the help of MPLS labels is directed to the destination by Label Switched Routers.