Question 802 of 1,705
Network DesigneasyMultiple ChoiceObjective-mapped

Connecting VPCs Privately: VPC Peering, VPN, and Transit Gateway

This ANS-C01 practice question tests your understanding of network design. Match the stated requirement to the specific cloud service, access model, or configuration option — many options are valid in isolation but not for this scenario. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.

A company needs to connect two VPCs in the same AWS account and region. They want to use private IP addresses and avoid any single point of failure. Which solution should they use?

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

VPC peering connection

VPC peering is the correct solution because it allows direct connectivity between two VPCs using private IP addresses, with no single point of failure since traffic flows directly between the VPCs without any intermediate device or bandwidth bottleneck. AWS handles the underlying routing and redundancy, and there is no additional cost for data transfer within the same Availability Zone or region when using private IPs.

Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • AWS Transit Gateway

    Why it's wrong here

    Transit Gateway is a valid solution but is more complex and costly than VPC peering for a simple two-VPC connection.

  • VPC peering connection

    Why this is correct

    VPC peering is simple, uses private IPs, and has no single point of failure as it is a direct connection.

    Related concept

    Read the scenario before looking for a memorised answer.

  • Internet Gateway and public IPs

    Why it's wrong here

    This would expose traffic to the internet and is not recommended for private connectivity.

  • AWS Site-to-Site VPN between the VPCs

    Why it's wrong here

    VPN is typically used for on-premises connections, not for VPC-to-VPC within the same region.

Common exam traps

Common exam trap: answer the scenario, not the keyword

The ANS-C01 exam often tests the misconception that Transit Gateway is always the best choice for any multi-VPC connectivity, but the trap here is that for exactly two VPCs in the same account and region, VPC peering is simpler, cheaper, and avoids the single point of failure inherent in a Transit Gateway.

Detailed technical explanation

How to think about this question

VPC peering uses the existing AWS network infrastructure to route traffic between VPCs via private IP addresses, with no bandwidth limits and no single point of failure because the peering connection is a logical relationship that leverages AWS's highly available backbone. Under the hood, VPC peering relies on route table entries and security group rules, and it does not support transitive routing (e.g., VPC A cannot reach VPC C through VPC B), which is a key limitation to remember. In a real-world scenario, if you need to connect more than two VPCs, Transit Gateway becomes the better choice despite its single point of failure risk, but for exactly two VPCs, peering is simpler and more resilient.

KKey Concepts to Remember

  • Read the scenario before looking for a memorised answer.
  • Find the constraint that changes the correct option.
  • Eliminate answers that are true in general but not in this case.

TExam Day Tips

  • Watch for words such as best, first, most likely and least administrative effort.
  • Review why wrong options are wrong, not only why the correct option is correct.

Key takeaway

Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.

Real-world example

How this comes up in practice

A startup's cloud architect reviews their monthly bill and notices costs are higher than expected for a long-running batch job. Switching from on-demand instances to Reserved Instances — or using Spot/Preemptible VMs — can reduce compute costs by up to 72 %. Questions like this test whether you understand the tradeoffs between commitment, flexibility, and cost across cloud pricing models.

What to study next

Got this wrong? Here's your next step.

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

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FAQ

Questions learners often ask

What does this ANS-C01 question test?

Network Design — This question tests Network Design — Read the scenario before looking for a memorised answer..

What is the correct answer to this question?

The correct answer is: VPC peering connection — VPC peering is the correct solution because it allows direct connectivity between two VPCs using private IP addresses, with no single point of failure since traffic flows directly between the VPCs without any intermediate device or bandwidth bottleneck. AWS handles the underlying routing and redundancy, and there is no additional cost for data transfer within the same Availability Zone or region when using private IPs.

What should I do if I get this ANS-C01 question wrong?

Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.

What is the key concept behind this question?

Read the scenario before looking for a memorised answer.

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Same concept, more angles

1 more ways this is tested on ANS-C01

These questions test the same concept from different angles. Work through them to make sure you can recognise it however the exam phrases it.

Variation 1. A company wants to enable communication between two VPCs (VPC A and VPC B) in the same AWS account and region. They want to use private IP addresses and avoid using the internet. Which THREE options can achieve this?

easy
  • A.VPC peering connection
  • B.AWS Site-to-Site VPN connection between VPCs
  • C.Internet gateway attached to both VPCs
  • D.AWS Transit Gateway
  • E.NAT gateway in each VPC

Why A: VPC peering connection (Option A) allows direct, private IP connectivity between two VPCs using the AWS global network, with no internet gateway or VPN required. Traffic stays within AWS's internal infrastructure, meeting the requirement for private IP addresses and avoiding the internet.

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Last reviewed: Jul 4, 2026

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This ANS-C01 practice question is part of Courseiva's free Amazon Web Services certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the ANS-C01 exam.