Which of the following best describes SD-WAN technology?

SD-WAN technology best exemplifies the ability to optimize cloud applications by intelligently directing traffic across a wide area network. This optimization is achieved through various techniques such as dynamic path selection, which enables more reliable and efficient access to cloud services. By leveraging multiple types of network transports, including broadband Internet, LTE, and MPLS, SD-WAN can prioritize important application traffic, reduce latency, and enhance user experiences, especially with bandwidth-intensive applications hosted in the cloud.

Understanding the other options provides additional context: MPLS is indeed one of the transport methods that can be used with SD-WAN, but it is not exclusive to it; SD-WAN can function effectively without MPLS. Operating solely in the physical layer is not accurate as SD-WAN operates at higher layers in the OSI model, particularly focusing on the network and transport layers, where routing and traffic management occur. Also, while SD-WAN can certainly benefit small branch offices, its capabilities extend to large enterprises with complex network needs. Thus, its application is not restricted to smaller setups, making its use versatile across various business scales.