An unmanaged switch is a simple, zero-configuration network device that connects multiple Ethernet devices together. This is by far the most common type of switch because they’re cheaper to make and satisfy most needs in the home and small office. There are no settings to configure, and the device generally avoids inspecting the traffic it switches. Unmanaged switches are commodity products that are all pretty much same, varying only in the number of ports and speeds provided.

Managed switches add a central CPU for device administration. This design enables configuration settings which is usually an important precursor to have features such as VLANs, QoS, IGMP snooping, and port security. Businesses usually need managed switches to implement security policies. In addition to the added hardware, businesses have deeper pockets, and managed switches are no longer simple commodities because comparing the advanced feature set and software is no longer trivial.

Only recently have we seen pro-sumer switches occupy the space in between these two options by offering some simple managed features (VLANs) while reserving necessary enterprise features (port security, DHCP snooping, reporting) to segment the market.