Wireless

Last updated 11 Feb 2025

Alternatives to virtual private gateways for secure IoT

Aisling_Cahill

By Aisling Cahill

The rapid expansion of the Internet of Things (IoT) has introduced new challenges for securing data, devices, and networks. Virtual private gateways (VGWs) have traditionally played a critical role in connecting on-premises networks to cloud environments, providing a secure communication channel. However, as IoT ecosystems become more complex, many businesses are exploring alternatives to VGWs for enhanced flexibility, scalability, and security.

This article will break down what VGWs are, their limitations for IoT applications, and alternative solutions that provide robust security for modern IoT deployments.

What is a virtual private gateway (VGW)?

A virtual private gateway is a network component that enables secure communication between an on-premises network and a virtual private cloud (VPC) in cloud environments. Using VGWs, organizations can establish encrypted connections via VPN tunnels, safeguarding data as it travels between their internal systems and cloud resources.

VGWs are a popular choice for businesses seeking to create hybrid cloud architectures because they facilitate seamless communication between local data centers and cloud-based applications. However, in IoT environments where device numbers are rapidly increasing, VGWs may present certain drawbacks.

Limitations of VGWs for IoT security

While VGWs provide secure connections, they’re not always the ideal solution for IoT networks due to several limitations:

Scalability challenges

VGWs are designed for hybrid cloud connections, but they can struggle to handle the massive scale of IoT networks, which often involve thousands or millions of connected devices.

Latency issues

IoT devices often require low-latency connections to operate efficiently. Depending on the network architecture, VGWs may introduce delays due to encryption and routing processes.

Single point of failure

A centralized VGW can act as a bottleneck in the network. If the gateway experiences issues, it may disrupt communications across the IoT ecosystem.

Cost inefficiencies

For large-scale IoT deployments, relying on VGWs can lead to higher costs due to limitations in scaling and resource demands.

Given these limitations, businesses are turning to alternative solutions designed to address the unique demands of IoT security.

Alternatives to VGWs for IoT security

Several modern alternatives to VGWs provide enhanced security, scalability, and performance for IoT networks. These alternatives cater specifically to the unique requirements of IoT deployments, ensuring data remains protected without compromising operational efficiency.

IoT VPN solutions

IoT VPNs provide secure, private communication channels for IoT devices. They’re similar to traditional VPNs but optimized for IoT use cases. These solutions often leverage lightweight encryption protocols, reducing overhead and enabling low-latency communication.

One such solution is the Telnyx IoT VPN, which provides a highly secure, scalable, and flexible way to protect IoT devices. When paired with Telnyx Virtual Cross Connects (VXCs), organizations can replicate the same secure bridging that a VGW offers but tailor it specifically to cellular-enabled IoT devices. Unlike VGWs, the Telnyx IoT VPN allows you to create custom private networks for your IoT deployments, ensuring data remains isolated from public internet traffic.

With features like easy device provisioning, network segmentation, and global coverage, IoT VPNs offer an efficient alternative to traditional VGWs.

Software-defined wide area networks (SD-WAN)

SD-WAN technology is another powerful alternative for IoT security. Using centralized control and intelligent routing, SD-WANs can optimize traffic across multiple connections while applying end-to-end encryption to secure data.

For IoT, SD-WAN can dynamically route traffic based on application requirements, prioritizing low-latency paths for critical data. Its ability to scale and adapt to diverse network environments makes it an excellent choice for large-scale IoT deployments.

Secure access service edge (SASE)

SASE combines networking and security functions into a unified cloud-native architecture. This approach integrates capabilities like zero-trust network access (ZTNA), secure web gateways, and firewall-as-a-service (FWaaS), delivering robust protection for IoT devices.

SASE is particularly effective in IoT scenarios where devices are geographically dispersed. Its zero-trust framework ensures that only authorized devices can access specific network resources, minimizing the risk of breaches.

Private LTE and 5G networks

Private LTE and 5G networks provide dedicated connectivity for IoT devices, offering both security and performance advantages. These networks are isolated from public cellular infrastructure, reducing the attack surface and providing businesses with greater control over their IoT communications.

For applications requiring ultra-low latency and high bandwidth—such as autonomous vehicles or industrial IoT—private LTE and 5G networks are an attractive alternative to VGWs.

Edge computing with built-in security

Edge computing places data processing closer to IoT devices, reducing latency and enhancing security by minimizing the need for data to travel across centralized networks. Many edge computing solutions incorporate security features such as device authentication, encryption, and anomaly detection.

By deploying security measures directly at the edge, businesses can reduce the reliance on centralized gateways like VGWs while maintaining robust protection for IoT devices.

Choosing the right alternative for your IoT deployment

Selecting the best alternative to VGWs depends on your specific IoT use case, including the scale of your network, the sensitivity of your data, and your performance requirements. While IoT VPNs and SD-WAN are versatile solutions for a wide range of deployments, SASE and private LTE/5G networks may be better suited for industries requiring ultra-low latency and advanced security.

As IoT ecosystems continue to grow, businesses must prioritize scalable and future-ready solutions. By exploring alternatives to VGWs, you can ensure your IoT network remains secure, efficient, and capable of supporting your organization's evolving needs.

For a scalable, cost-effective IoT security solution, consider the Telnyx IoT VPN, which combines global coverage, low latency, and powerful security features to protect your devices and data.

Telnyx as your partner for private cellular networks and IoT connectivity with Telnyx IoT VPN and VXCs. Our solutions replicate the security features of a VGW and 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 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.


Contact our team to enhance your IoT network's security and performance with Telnyx IoT VPN and VXCs.
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