Capterra Glossary
IT
LAN (Local-Area Network)

Capterra Glossary

LAN (Local-Area Network)

A local area network (LAN) is a communication network that connects users in a specific area. A single enterprise typically owns and manages a LAN and uses it within a building, such as an office complex or college campus. A LAN performs functions such as transferring data between systems connected to the network. It also sends output to printers and emails to users in the network. A LAN can also access a wider area network (WAN) such as the internet via a direct connection. More LANs use internet standards and protocols nowadays, but firewalls typically protect them from the public internet.

What Small and Midsize Businesses Need to Know About LAN (Local-Area Network)

SMBs might use a LAN because it costs cheaper than a WAN and allows employees in that network to share resources such as hard drives and printers. Because a LAN consists of a group of computers or devices in one network, it helps small businesses centralize their IT operations.

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