What role does LDP perform in an MPLS network?

LDP (Label Distribution Protocol) is crucial for MPLS operation because it distributes labels between Label Switch Routers (LSRs). Each LSR uses LDP to inform its neighbors about the labels it has assigned to specific prefixes. This allows for hop-by-hop forwarding, where packets are forwarded based on their label rather than their IP destination address, enabling efficient MPLS data plane operation. Incorrect options: "Enables an MPLS topology to connect multiple VPNs to P routers" describes a function of MPLS VPNs, not LDP's core role. "Exchanges routes for MPLS VPNs across different VRFs" is handled by MP-BGP, not LDP. "Provides a mechanism for LSRs to exchange IP routes" is the role of Interior Gateway Protocols (IGPs) like OSPF or EIGRP, which LDP relies on for reachability information.