In the OSI reference model, switching takes place on the second level. During switching, frames are forwarded from the source port to the destination port using the MAC address. In this way, a Layer 2 Switch transports frames (data) to the right places by determining and entering MAC addresses in a table. A Layer 3 switch, on the other hand, is specifically designed to be able to assign data packets using IP addresses. Routing is therefore handled by the Layer 3 switch.