This lab requires an Azure subscription. Your subscription type may affect the availability of features in this lab. You may change the region, but the steps are written using **East US** and **West Europe**.
Your global organization plans to implement virtual networks. These networks are in East US, West Europe, and Southeast Asia. The immediate goal is to accommodate all the existing resources. However, the organization is in a growth phase and wants to ensure there is additional capacity for the growth.
The **CoreServicesVnet** virtual network is deployed in the **East US** region. This virtual network has the largest number of resources. The network has connectivity to on-premises networks through a VPN connection. This network has web services, databases, and other systems that are key to the operations of the business. Shared services, such as domain controllers and DNS are located here. A large amount of growth is anticipated, so a large address space is necessary for this virtual network.
The **ManufacturingVnet** virtual network is deployed in the **West Europe** region, near the location of your organization's manufacturing facilities. This virtual network contains systems for the operations of the manufacturing facilities. The organization is anticipating a large number of internal connected devices for their systems to retrieve data from, such as temperature, and needs an IP address space that it can expand into.
There are several interactive lab simulations that you might find useful for this topic. The simulation lets you to click through a similar scenario at your own pace. There are differences between the interactive simulation and this lab, but many of the core concepts are the same. An Azure subscription is not required.
**[Create a simple virtual network](https://mslearn.cloudguides.com/en-us/guides/AZ-900%20Exam%20Guide%20-%20Azure%20Fundamentals%20Exercise%204)**. Create a virtual networks with two virtual machines. Demonstrate the virtual machines can communicate.
**[Design and implement a virtual network in Azure](https://mslabs.cloudguides.com/guides/AZ-700%20Lab%20Simulation%20-%20Design%20and%20implement%20a%20virtual%20network%20in%20Azure).** Create a resource group, and create virtual networks with subnets.
**[Implement virtual networking](https://mslabs.cloudguides.com/en-us/guides/AZ-104%20Exam%20Guide%20-%20Microsoft%20Azure%20Administrator%20Exercise%208).** Create and configure a virtual network, deploy virtual machines, configure network security groups, and configure Azure DNS.
These virtual networks and subnets are structured in a way that accommodates existing resources yet allows for the projected growth. Let's create these virtual networks and subnets to lay the foundation for our networking infrastructure.
>**Did you know?**: It is a good practice to avoid overlapping IP address ranges to reduce issues and simplify troubleshooting. Overlapping is a concern across the entire network, whether in the cloud or on-premises. Many organizations design an enterprise-wide IP addressing scheme to avoid overlapping and plan for future growth.
## Task 1: Create a resource group
### Create a resource group for all the resources in this lab.
1. Sign in to the **Azure portal** - `http://portal.azure.com`.
1. Search for and select **Resource groups**, then select **+ Create**.
## Task 2: Create the CoreServicesVnet virtual network and subnets
The organization plans a large amount of growth for core services. In this task, you create the virtual network and the associated subnets to accommodate the existing resources and planned growth.
1. Before proceeding ensure you have two files **template.json** and **parameters.json**. Take a minute to review the files and the information about the CoreServicesVnet. You will use this template to create the ManufacturingVnet in the next task.
## Task 3: Create the ManufacturingVnet virtual network and subnets
In this task, you create the ManufacturingVnet virtual network and associated subnets. The organization anticipates growth for the manufacturing offices so the subnets are sized for the expected growth.
1. Edit the local **template.json** file in the **Downloads** folder. If you are using Visual Studio Code be sure you are working in a **trusted window** and not in the **restricted mode**.
1. Make sure everything looks correct and **Save** your changes.
>**Note:** You can now deploy the template with either Azure PowerShell (option 1) or the Bash shell (option 2). Your choice, but only do one type of deployment.
1. Before continuing, return to the portal and ensure the **ManufacturingVnet** virtual network and subnets were created. You may need to **Refresh** the virtual networks page.
1. Return to the portal, and ensure the **ManufacturingVnet** and associate subnets were created. You may need to **Refresh** the virtual networks page.
In this task, we create an Appication Security Group and a Network Security Group. The NSG will have inbound security rule that allows traffic from the ASG.
If you are working with your own subscription take a minute to delete the lab resource. This will ensure resourcess are freed up and cost is minimized.