| CPC H04L 45/745 (2013.01) [H04L 45/28 (2013.01); H04L 45/76 (2022.05); H04L 49/70 (2013.01)] | 20 Claims |

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1. A method for managing Layer 2 (L2) and Layer 3 (L3) policies comprising:
routing traffic from a first virtual machine (VM) to a first centralized gateway (CGW) through an L2 overlay fabric, wherein the first CGW is included within at least one Service Node, wherein the at least one Service Node includes a centralized policy for both L2 functions and L3 functions;
translating a source Internet Protocol (IP) address of the traffic from a private IP address of the first VM to a floating IP address;
routing, based on the floating IP address, the traffic within the at least one Service Node;
translating the floating IP address to a private IP address of a destination VM; and
routing the traffic from a second CGW that integrates both L2 gateways and L3 gateways to the destination VM.
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