AWS virtual private gateways: Telnyx integrations for IoT

Amazon Web Services (AWS) popularized the virtual private gateway for virtual private clouds (VPCs). Companies deploying IoT solutions naturally turned to VGWs to safeguard data transmission and prevent potential breaches. However, other providers, including Telnyx, offer equivalent or enhanced functionality to address complex networking requirements, especially in the IoT space.

Whether you’re deploying IoT solutions in healthcare, manufacturing, or transportation, understanding VGWs is essential to creating a secure infrastructure. This guide dives into the mechanics of VGWs, their benefits, and their role in supporting safe, efficient IoT connectivity.

Below, we explore what a Virtual Private Gateway is, how it works, and why secure private connectivity is important for organizations. We’ll also highlight solutions such as Telnyx IoT VPN and Telnyx Virtual Cross Connects (VXCs), which can emulate the benefits of a VGW, especially for companies seeking private cellular network solutions.

What is a virtual private gateway in AWS?

A Virtual Private Gateway is a logical, highly available, distributed edge-routing function at the boundary of a Virtual Private Cloud (VPC). This virtual router terminates secure VPN tunnels from on-premises or customer environments, acting as a concentrator for site-to-site VPN connections.

A virtual private gateway (VGW) is central to modern cloud and network security infrastructure. It facilitates secure, encrypted connections between different networks, whether they’re on-premise or cloud-based. It ensures data remains confidential, tamper-proof, and protected from unauthorized access. As interconnected devices become standard, enhanced security measures are more important than ever.

Key features of a virtual private gateway

The primary role of a VGW is to facilitate encrypted communication between your internal network (or devices) and the cloud environment. It acts as the “cloud side” of a site-to-site VPN, while the customer gateway (a physical or software-based device in your data center) serves as the “on-premises side.” In a time when data breaches and cyberattacks are rampant, encrypting data in transit is paramount. A Virtual Private Gateway ensures your workloads, sensitive information, or IoT device traffic never travel across the open internet unprotected.

Differences between an internet gateway and a virtual private gateway

Both an internet gateway and a virtual private gateway connect a cloud-based VPC to external networks, but they serve different purposes. An internet gateway allows two-way communication between the public internet and cloud-based resources and is primarily used for external-facing applications, websites, or APIs that need global reach. Meanwhile, a virtual private gateway establishes secure tunnels between on-premises networks (or other private networks) and a VPC, typically used for enterprise applications requiring confidential, end-to-end encrypted data flow, away from the public internet. In short, an internet gateway is about reaching the internet, while a VGW focuses on safely bridging private networks and cloud networks.

Virtual private gateway in AWS

In Amazon Web Services (AWS), a VGW integrates with features like AWS Site-to-Site VPN and AWS Direct Connect to allow secure data exchanges between on-prem or remote offices and cloud environments. Among the primary functions, a VGW manages the cloud side of IPsec tunnels, enabling multiple encrypted connections for various departments or partners and supports both static and dynamic routes. You can also leverage Border Gateway Protocol (BGP) sessions to handle more complex routing scenarios. Organizations that need guaranteed privacy and need to avoid exposing endpoints to the open internet benefit from a VGW. By encrypting data before it leaves your private network, you maintain strict control over how and where data traverses.

Uses of a virtual private gateway

A Virtual Private Gateway allows employees or contractors to establish encrypted VPN tunnels into your cloud environment from anywhere. This is critical for remote work scenarios, ensuring that off-site access doesn’t compromise security.

For companies with global footprints, a VGW consolidates traffic across various geographies under a single, encrypted channel. This approach simplifies compliance with local laws and streamlines management of multi-country data flows.

In multi-cloud or hybrid-cloud architectures, a VGW can serve as an endpoint for secure communication between different cloud providers. This helps organizations maintain consistent security policies and scale VPN tunnels across distinct platforms.

Benefits of using a virtual private gateway

Data that flows through a VGW is encrypted, protecting it from unauthorized access or interception. This is especially crucial for businesses handling sensitive data like financial transactions, healthcare information, or confidential IoT sensor readings.

Because VGWs manage traffic by directing and encrypting data efficiently, network congestion is often reduced. This can translate to higher throughput or more reliable connections, even under peak loads.

A VGW simplifies network security management, consolidating VPN terminations in one place. Administrators gain single-pane-of-glass visibility into which devices or offices are connecting and how traffic is flowing.

When working from public Wi-Fi hotspots—often riddled with vulnerabilities—employees can route traffic through the VGW, maintaining end-to-end encryption.

Masking real IP addresses can help organizations or users access services that might otherwise be blocked regionally, aiding in global operations.

How a virtual private gateway works

The VGW establishes IPsec VPN tunnels to remote devices or networks, ensuring that all data travels through encrypted channels. All transmitted traffic is encrypted, preserving confidentiality and integrity even if it’s intercepted en route. The VGW assigns unique IP addresses within the cloud environment, hiding the actual IP addresses of devices and preventing direct exposure on public networks.

Limitations and best practices

VGWs can support only up to ten VPN connections by default, although this meets the needs of most mid-sized organizations. BGP route constraints and ASN settings must be carefully managed; AWS won’t verify your BGP configurations on your behalf.

For best practices, double-check BGP settings, ASNs, and routing tables to avoid conflicts or performance bottlenecks. Continuously monitor performance and error logs to detect potential VPN issues early. Additionally, enforce multi-factor authentication (MFA) on VPN connections and conduct periodic security audits.

Extending VGW concepts to IoT deployments

The rise of private cellular networks

Organizations with IoT deployments ranging from smart sensors and industrial controls to connected healthcare devices need private and secure communications. A Virtual Private Gateway can be a tool here, linking cellular IoT devices to central data centers or cloud platforms. However, managing IoT traffic often requires specialized infrastructure beyond a standard VGW. Leveraging private cellular networks is important not only for security but also for reliability, as these networks can offer more stable connections compared to public alternatives.

Introducing Telnyx IoT VPN

Telnyx IoT VPN is an end-to-end private connectivity solution that parallels—and in many cases extends—Virtual Private Gateway functionality. By using Telnyx Virtual Cross Connects (VXCs) and Telnyx’s global backbone, you can replicate the same secure bridging that a VGW offers but tailor it specifically to cellular-enabled IoT devices. Telnyx segments your IoT SIMs into a dedicated, VRF-based private network, ensuring device-level traffic isolation and removing any need for public IP exposure. With WireGuard tunnels, Telnyx can connect device traffic to your environment—whether that’s in AWS, Azure, GCP, or on-prem—without ever touching the public internet.

Many IoT devices are quite basic in the sense that they can’t easily run traditional VPN clients. By embedding the VPN at the network layer (via Telnyx Cloud VPN + Private Wireless Gateway), these devices automatically connect securely, with no complicated configuration.

Telnyx virtual cross connects (VXCs): a robust alternative

When considering Virtual Private Gateways, Telnyx VXCs can offer similar secure bridging capabilities for IoT traffic. A VXC is a private, dedicated link that bypasses the public internet, achieving the same or better levels of security and performance as a traditional VGW.

Key benefits of Telnyx VXCs over a traditional VGW

VXCs are designed with IoT deployments in mind, eliminating overhead or complexity that isn’t relevant for device-to-cloud communications. Telnyx’s MPLS-backed network provides low-latency, high-reliability interconnects for worldwide IoT expansions. VXCs can tie into AWS, Azure, Google Cloud, or hybrid data centers—mirroring the core functionality of a VGW but with a greater emphasis on IoT traffic management.

Strengthening IoT Connectivity with Telnyx

As organizations increasingly deploy IoT devices and seek secure, encrypted communications between on-premise networks and cloud resources, the importance of a robust Virtual Private Gateway becomes clear. While traditional VGWs offer centralized VPN termination and advanced routing features, the rise of IoT demands even more specialized solutions that accommodate cellular endpoints. Telnyx IoT VPN, supported by Telnyx Virtual Cross Connects (VXCs), provides a comprehensive alternative that matches the data security of a VGW while streamlining cellular IoT connectivity at scale.

Telnyx stands out as an authority in private cellular networks and IoT connectivity. Our solutions not only replicate the security features of a VGW but also offer tailored functionalities that cater specifically to IoT deployments. With a focus on private IP assignment, end-to-end encryption, and seamless cloud integration, Telnyx ensures that your IoT devices remain secure and efficient. Whether you're handling private cellular networks or need a frictionless way to bring IoT device data into your cloud environment without public exposure, Telnyx offers the functionality and simplicity you require. Explore our products, such as the Telnyx IoT VPN and VXCs, to see how we can enhance your network's security and performance.

Contact our team of experts to discover how Telnyx can secure your IoT deployments with private connectivity solutions.