Local Area Network (LAN)

A local area network (LAN) is usually privately owned and links the devices in a single office, building, or campus (see Figure 1.4). Depending on the needs of an organisation and the type of technology used, a LAN can be as simple as two PCs and a printer in someone's home office, or it can extend throughout a company and include voice, sound, and video peripherals. Currently, LAN size is limited to a few kilometers.
LANs are designed to allow resources to be shared between personal computers or workstations. The resources to be shared can include hardware (e.g., a printer), software (e.g., an application program), or data. A common example of a LAN, found in many business environments, links a work group of task related computers, for example, engineering workstations or accounting PCs. One of the computers may be given a large-capacity disk drive and become a server to the other clients. Software can be stored on this central server and used as needed by the whole group. In this example, the size of the LAN may be determined by licensing restrictions on the number of users per copy of software, or by restrictions on the number of users licensed to access the operating system.
In addition to size, LANs are distinguished from other types of networks by their transmission media and topology. In general, a given LAN will use only one type of transmission medium. The most common LAN topologies are bus, ring, and star. Traditionally, LANs have data rates in the 4 to 16 Mbps range. Today, however speeds are increasing and can reach 100 Mbps with gigabit systems in development.