At a small company I recently joined; they have a MPLS transport network with a dozen POPs running on low-end IOS-XR gear offering L2VPN services.
The director wants to offer IP transit services (full tables) using low-end IOS-XE gear (asr1000s) over that MPLS transport using xconnects/pseudowires. I suggested buying higher end SP gear and providing both L2VPN and L3VPN services with the same set of equipment and thus putting the IP transit in a VRF. I was told this isn’t possible but considering how beefy even middle of the road SP gear is when it comes to the amount of routes in the FIB, I feel this is a no brainer. Am I missing something?
It would be great to continue with your considerations about BGP add-path vs Internet in VRF.
I did a bit of analysis a while ago, and the memory requirements went through the roof.
Assuming that’s not a problem you should be reasonably safe.