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VPN (virtual private network) is a virtual private network. The technology creates a secure channel between the user's device and the server.
Without a VPN, internet traffic is transmitted directly through the provider, and when connecting to public Wi-Fi networks, data can be vulnerable to interception. A VPN encrypts the traffic and routes it through a special server, which helps to increase connection security and hide the user's IP address.
In business, VPN is used for:
For example, an online store with a remote team can use a VPN to give employees access to the admin panel and API without opening the system to the entire internet.
VPN applications are available for Android, iPhone, Windows, and macOS. They are used to protect connections in public networks: for example, in cafes, airports, or hotels. Some services offer a VPN browser extension. This is convenient for specific tasks, but it is important to understand: such solutions usually protect only browser traffic, not the entire device.
A VPN can be compared to a secure tunnel between a device and the internet. Inside this tunnel, data is encrypted.
Here is how it works:
For business, this is especially important when employees work from home, coworking spaces, or business trips.
VPN and proxy are often confused, but there is a big difference between them.
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VPN
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Proxy
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Encrypts traffic
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Usually does not encrypt
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Protects the entire connection
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Works only with specific applications
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Suitable for business
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More often used for simple tasks
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Better protects data
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Lower level of security
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For corporate work, a VPN is considered a more reliable solution.
A VPN works through different protocols — sets of rules for data transmission.
The most common ones:
The connection speed, stability, and level of protection depend on the protocol.
In Russia, the use of VPN as a technology is not prohibited. Companies, banks, IT services, and other organizations continue to use VPNs to protect data, enable remote work for employees, and provide secure access to corporate systems.
At the same time, the country has regulations for services that are used to bypass access restrictions to prohibited resources. Because of this, some services may face blocking or restrictions from telecom operators. Certain applications and protocols periodically work unstably.
For business, private networks remain an important cybersecurity tool — especially when working with internal systems, cloud services, and remote teams. The main thing is to use reliable solutions and comply with legal requirements.
Users often face connection problems. The reasons can be different:
Sometimes the problem is solved by changing the protocol or updating the client.
If a VPN is needed for business, it is worth paying attention to several factors:
Also important are:
Read also: How a business can work with personal data without breaking the law
A VPN in itself is not considered a dangerous technology: it is used by companies, banks, and IT services to protect data and for remote work. But risks arise when using unreliable services, especially free ones. Some VPNs may collect user data, show intrusive ads, or share information with third parties.
Moreover, a VPN does not guarantee complete anonymity and does not protect against viruses, phishing, or password leaks. If a user visits suspicious websites, uses weak passwords, or violates basic rules of digital hygiene, a VPN will not solve these problems.
For business, a separate risk is associated with incorrect configuration of a corporate VPN. Configuration errors or lack of access control can lead to a leak of the company's internal data.
Using a VPN leaves a digital footprint that government agencies can analyze. For instance, in May 2026, in one of the tax disputes, the Federal Tax Service (FNS) established that several counterparty companies filed tax reports via foreign IP addresses. The court took this fact into account along with other circumstances and concluded that the companies might have been hiding the real organizers of the activity, and the transactions were fictitious. The company was additionally charged 5 million rubles in VAT and a fine. However, the decisive argument was not the VPN itself, but the combination of signs indicating the possible fictitious nature of the transactions.
Does a VPN make the user completely anonymous?
No. A VPN hides the IP address and encrypts traffic, but websites and services can still collect data through accounts, cookies, and other tracking tools.
Can I use a VPN on my phone?
Yes, a VPN can be used on Android and iPhone smartphones via a separate application or built-in system settings. This helps protect data when connecting to public Wi-Fi and safely work with corporate services from a phone.
How does a VPN differ from a proxy?
A VPN encrypts internet traffic and protects the entire connection on the device, including applications and the browser. A proxy usually works only for specific services or browser tabs and often does not provide full data encryption.
Why does a VPN reduce internet speed?
A VPN can slow down the connection due to traffic encryption and data transmission through an additional server. The speed also depends on the server load, the chosen protocol, and the quality of the VPN service itself.
Does a small business need a VPN?
Yes, if employees work remotely or connect to the company's internal services via the internet.
Why is a VPN often paid?
A reliable VPN requires infrastructure: servers in different countries, traffic encryption, technical support, and constant updating of security systems. All this costs money, which is why quality services operate on a subscription basis. Free VPNs often limit speed, show ads, or collect user data for monetization.
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