When IPsec establishes a connection, it is established in two phases, as shown in Figure 3.26. Phase one authenticates endpoints and builds a secure channel between the two VPN endpoints using certificates or a preshared key. Phase one also entails negotiating the hashing and encryption policies to be used for AH and ESP in phase two. Phase two is encrypted using the secure channel keys established in phase one. Phase two is responsible for negotiating another set of secure keys used to encrypt data called the Security Association (SA); it is also responsible for rekeying the SA after a period of time or number of packets.
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