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What does the OSI network layer do?

The network layer (Network Layer) is responsible for delivering packets between different networks and for routing: choosing the path the data will take.

Short formulation for an interview:

The network layer provides logical addressing (IP addresses) and routes packets between networks. It is the layer that decides where to send a packet next - which node becomes the next "hop".


Main functions of the network layer

1. Routing: the main function

The network layer:

  • decides "where to send the packet"
  • chooses the optimal path (route)
  • passes the packet to the next router (next-hop)

This is implemented using:

  • routing tables
  • route lookup algorithms
  • static/dynamic routes

2. Logical addressing (IP addressing)

Layer 3 uses IP addresses, which:

  • are unique within the network
  • are independent of MAC addresses
  • allow packets to be delivered across multiple networks

Main addressing protocols:

  • IPv4
  • IPv6

3. Packet encapsulation and decapsulation

On the way in, the network layer:

  • receives a segment from L4 (TCP/UDP)
  • wraps it into a packet (IP header + payload)

On the way out:

  • passes the packet to the data link layer (L2)

4. Packet fragmentation and reassembly

If a packet exceeds the link's MTU, the network layer can:

  • fragment it into smaller pieces (in IPv4)
  • reassemble the fragments at the destination device

IPv6 does not support fragmentation by routers, only by the sender.


5. Determining packet lifetime (TTL/Hop Limit)

Every IP packet contains:

  • TTL (IPv4)
  • Hop Limit (IPv6)

Every router decrements the TTL by 1. If TTL=0, the packet is dropped and an ICMP "Time Exceeded" message is sent.

This protects the internet from infinite loops.


6. Handling ICMP messages

ICMP works on top of IP and is used for:

  • transmission errors
  • diagnostics
  • ping and traceroute

Routers operate at the network layer

Switch = L2 Router = L3

A router:

  • reads the destination IP address
  • checks the routing table
  • forwards the packet to the correct subnet

Without the network layer, it is impossible to deliver packets:

  • to other subnets
  • to the internet
  • between offices/branches

Network layer protocols

Addressing protocols:

  • IPv4
  • IPv6

Diagnostic and service protocols:

  • ICMP
  • ICMPv6

Routing protocols:

  • OSPF
  • BGP
  • RIP
  • IS-IS

What the network layer does NOT do

It's important not to confuse these:

The network layer is not responsible for:

  • delivering frames within a LAN
  • MAC addresses
  • TCP/UDP ports
  • reliable delivery

That is the job of L2 and L4.


Example of the network layer at work

If a computer with the address 192.168.1.5 sends a packet to 8.8.8.8:

  1. L4 creates a segment (TCP/UDP).
  2. L3 wraps it into an IP packet and checks the destination IP.
  3. It realizes the address is on a different network.
  4. It sends the packet to the router (gateway).
  5. The router determines the best path and forwards it further.

Short Answer

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