LANs and WANs

The terms Local Area Network (LAN) and Wide Area Network WAN refer to the physical area a network covers.

Local Area Networks

A Local Area Network (LAN) covers a small geographical area such as a building. All the hardware that makes up the LAN is privately owned, e.g. the company using the LAN owns the LAN.

Examples of LANs include:

• Businesses
• Schools & Colleges
• Your own home

LANs can include wired and wireless devices.

Wide Area Networks

A Wide Area Network (WAN) connects LANs and computers over large geographical locations. WANs are owned by companies and access is rented or leased to its users (think about how people must pay for internet access).

Examples:

• The Internet - the largest WAN 
• VISA / MasterCard - payment providers which use their network to authorise digital payments
• Military - they use WANs to provide secure communication between their difference bases of operation.

WANs connect devices and LANs using ethernet, fibre, satellite and phonelines.