You have three Azure virtual networks: VNet-Production (), VNet-Shared (), and VNet-Database (). VNet-Production is peered with VNet-Shared, and VNet-Shared is peered with VNet-Database. No virtual network gateways or network virtual appliances are deployed in the virtual networks. Statement: A virtual machine deployed in VNet-Production can communicate with a virtual machine deployed in VNet-Database over the peering connections. Is this statement true or false?
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The statement is false because Azure virtual network peering is non-transitive by default, meaning traffic from VNet-Production cannot pass through VNet-Shared to reach VNet-Database.
The correct answer is false because virtual network peering in Azure is non-transitive. Even though VNet-Production is peered with VNet-Shared, and VNet-Shared is peered with VNet-Database, traffic originating from VNet-Production cannot traverse VNet-Shared to reach VNet-Database. A direct peering link or a transit routing mechanism (like a gateway or network virtual appliance) is required to establish communication.
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Virtual network peering is non-transitive. To route traffic through a transit hub network, you must configure a VPN gateway or a Network Virtual Appliance (NVA) alongside User-Defined Routes (UDRs).