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* Products  
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  * [SaaS Security](https://www.paloaltonetworks.com/sase/saas-security?ts=markdown)  
    [AI-Driven Security Operations Platform](https://www.paloaltonetworks.com/cortex?ts=markdown)
  
  * [Cloud Security](https://www.paloaltonetworks.com/cortex/cloud?ts=markdown)
  
  * [Cortex Cloud](https://www.paloaltonetworks.com/cortex/cloud?ts=markdown)
  
  * [Application Security](https://www.paloaltonetworks.com/cortex/cloud/application-security?ts=markdown)
  
  * [Cloud Posture Security](https://www.paloaltonetworks.com/cortex/cloud/cloud-posture-security?ts=markdown)
  
  * [Cloud Runtime Security](https://www.paloaltonetworks.com/cortex/cloud/runtime-security?ts=markdown)
  
  * [Prisma Cloud](https://www.paloaltonetworks.com/prisma/cloud?ts=markdown)
  
  * [AI-Driven SOC](https://www.paloaltonetworks.com/cortex?ts=markdown)
  
  * [Cortex XSIAM](https://www.paloaltonetworks.com/cortex/cortex-xsiam?ts=markdown)
  
  * [Cortex XDR](https://www.paloaltonetworks.com/cortex/cortex-xdr?ts=markdown)
  
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  * [Cortex XSOAR](https://www.paloaltonetworks.com/cortex/cortex-xsoar?ts=markdown)
  
  * [Cortex Exposure Management](https://www.paloaltonetworks.com/cortex/exposure-management?ts=markdown)
  
  * [Cortex Xpanse](https://www.paloaltonetworks.com/cortex/cortex-xpanse?ts=markdown)
  
  * [Cortex Advanced Email Security](https://www.paloaltonetworks.com/cortex/advanced-email-security?ts=markdown)
  
  * [Unit 42 Managed Detection \& Response](https://www.paloaltonetworks.com/cortex/managed-detection-and-response?ts=markdown)
  
  * [Unit 42 Managed XSIAM](https://www.paloaltonetworks.com/cortex/managed-xsiam?ts=markdown)

* Solutions  
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  Secure AI by Design
  
  * [Secure AI Ecosystem](https://www.paloaltonetworks.com/prisma/prisma-ai-runtime-security?ts=markdown)
  * [Secure GenAI Usage](https://www.paloaltonetworks.com/sase/ai-access-security?ts=markdown)  
    Network Security
  * [Cloud Network Security](https://www.paloaltonetworks.com/network-security/software-firewalls?ts=markdown)
  * [Data Center Security](https://www.paloaltonetworks.com/network-security/data-center?ts=markdown)
  * [DNS Security](https://www.paloaltonetworks.com/network-security/advanced-dns-security?ts=markdown)
  * [Intrusion Detection and Prevention](https://www.paloaltonetworks.com/network-security/advanced-threat-prevention?ts=markdown)
  * [Device Security](https://www.paloaltonetworks.com/network-security/device-security?ts=markdown)
  * [OT Security](https://www.paloaltonetworks.com/network-security/ot-device-security?ts=markdown)
  * [5G Security](https://www.paloaltonetworks.com/network-security/5g-security?ts=markdown)
  * [Secure All Apps, Users and Locations](https://www.paloaltonetworks.com/sase/secure-users-data-apps-devices?ts=markdown)
  * [Secure Branch Transformation](https://www.paloaltonetworks.com/sase/secure-branch-transformation?ts=markdown)
  * [Secure Work on Any Device](https://www.paloaltonetworks.com/sase/secure-work-on-any-device?ts=markdown)
  * [VPN Replacement](https://www.paloaltonetworks.com/sase/vpn-replacement-for-secure-remote-access?ts=markdown)
  * [Web \& Phishing Security](https://www.paloaltonetworks.com/network-security/advanced-url-filtering?ts=markdown)  
    Cloud Security
  * [Application Security Posture Management (ASPM)](https://www.paloaltonetworks.com/cortex/cloud/application-security-posture-management?ts=markdown)
  * [Software Supply Chain Security](https://www.paloaltonetworks.com/cortex/cloud/software-supply-chain-security?ts=markdown)
  * [Code Security](https://www.paloaltonetworks.com/cortex/cloud/code-security?ts=markdown)
  * [Cloud Security Posture Management (CSPM)](https://www.paloaltonetworks.com/cortex/cloud/cloud-security-posture-management?ts=markdown)
  * [Cloud Infrastructure Entitlement Management (CIEM)](https://www.paloaltonetworks.com/cortex/cloud/cloud-infrastructure-entitlement-management?ts=markdown)
  * [Data Security Posture Management (DSPM)](https://www.paloaltonetworks.com/cortex/cloud/data-security-posture-management?ts=markdown)
  * [AI Security Posture Management (AI-SPM)](https://www.paloaltonetworks.com/cortex/cloud/ai-security-posture-management?ts=markdown)
  * [Cloud Detection \& Response](https://www.paloaltonetworks.com/cortex/cloud-detection-and-response?ts=markdown)
  * [Cloud Workload Protection (CWP)](https://www.paloaltonetworks.com/cortex/cloud/cloud-workload-protection?ts=markdown)
  * [Web Application \& API Security (WAAS)](https://www.paloaltonetworks.com/cortex/cloud/web-app-api-security?ts=markdown)  
    Security Operations
  * [Cloud Detection \& Response](https://www.paloaltonetworks.com/cortex/cloud-detection-and-response?ts=markdown)
  * [Security Information and Event Management](https://www.paloaltonetworks.com/cortex/modernize-siem?ts=markdown)
  * [Network Security Automation](https://www.paloaltonetworks.com/cortex/network-security-automation?ts=markdown)
  * [Incident Case Management](https://www.paloaltonetworks.com/cortex/incident-case-management?ts=markdown)
  * [SOC Automation](https://www.paloaltonetworks.com/cortex/security-operations-automation?ts=markdown)
  * [Threat Intel Management](https://www.paloaltonetworks.com/cortex/threat-intel-management?ts=markdown)
  * [Managed Detection \& Response](https://www.paloaltonetworks.com/cortex/managed-detection-and-response?ts=markdown)
  * [Attack Surface Management](https://www.paloaltonetworks.com/cortex/cortex-xpanse/attack-surface-management?ts=markdown)
  * [Compliance Management](https://www.paloaltonetworks.com/cortex/cortex-xpanse/compliance-management?ts=markdown)
  * [Internet Operations Management](https://www.paloaltonetworks.com/cortex/cortex-xpanse/internet-operations-management?ts=markdown)
  * [Extended Data Lake (XDL)](https://www.paloaltonetworks.com/cortex/cortex-xdl?ts=markdown)
  * [Agentic Assistant](https://www.paloaltonetworks.com/cortex/cortex-agentic-assistant?ts=markdown)  
    Endpoint Security
  * [Endpoint Protection](https://www.paloaltonetworks.com/cortex/endpoint-protection?ts=markdown)
  * [Extended Detection \& Response](https://www.paloaltonetworks.com/cortex/detection-and-response?ts=markdown)
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  * [Small \& Medium Business Solutions](https://www.paloaltonetworks.com/industry/small-medium-business-portfolio?ts=markdown)

* Services  
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  [Threat Intel and Incident Response Services](https://www.paloaltonetworks.com/unit42?ts=markdown)
  
  * [Assess](https://www.paloaltonetworks.com/unit42/assess?ts=markdown)
  
  * [AI Security Assessment](https://www.paloaltonetworks.com/unit42/assess/ai-security-assessment?ts=markdown)
  
  * [Attack Surface Assessment](https://www.paloaltonetworks.com/unit42/assess/attack-surface-assessment?ts=markdown)
  
  * [Breach Readiness Review](https://www.paloaltonetworks.com/unit42/assess/breach-readiness-review?ts=markdown)
  
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  * [Cloud Security Assessment](https://www.paloaltonetworks.com/unit42/assess/cloud-security-assessment?ts=markdown)
  
  * [Compromise Assessment](https://www.paloaltonetworks.com/unit42/assess/compromise-assessment?ts=markdown)
  
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  * [M\&A Cyber Due Diligence](https://www.paloaltonetworks.com/unit42/assess/mergers-acquisitions-cyber-due-diligence?ts=markdown)
  
  * [Penetration Testing](https://www.paloaltonetworks.com/unit42/assess/penetration-testing?ts=markdown)
  
  * [Purple Team Exercises](https://www.paloaltonetworks.com/unit42/assess/purple-teaming?ts=markdown)
  
  * [Ransomware Readiness Assessment](https://www.paloaltonetworks.com/unit42/assess/ransomware-readiness-assessment?ts=markdown)
  
  * [SOC Assessment](https://www.paloaltonetworks.com/unit42/assess/soc-assessment?ts=markdown)
  
  * [Supply Chain Risk Assessment](https://www.paloaltonetworks.com/unit42/assess/supply-chain-risk-assessment?ts=markdown)
  
  * [Tabletop Exercises](https://www.paloaltonetworks.com/unit42/assess/tabletop-exercise?ts=markdown)
  
  * [Unit 42 Retainer](https://www.paloaltonetworks.com/unit42/retainer?ts=markdown)
  
  * [Respond](https://www.paloaltonetworks.com/unit42/respond?ts=markdown)
  
  * [Cloud Incident Response](https://www.paloaltonetworks.com/unit42/respond/cloud-incident-response?ts=markdown)
  
  * [Digital Forensics](https://www.paloaltonetworks.com/unit42/respond/digital-forensics?ts=markdown)
  
  * [Incident Response](https://www.paloaltonetworks.com/unit42/respond/incident-response?ts=markdown)
  
  * [Managed Detection and Response](https://www.paloaltonetworks.com/unit42/respond/managed-detection-response?ts=markdown)
  
  * [Managed Threat Hunting](https://www.paloaltonetworks.com/unit42/respond/managed-threat-hunting?ts=markdown)
  
  * [Managed XSIAM](https://www.paloaltonetworks.com/cortex/managed-xsiam?ts=markdown)
  
  * [Unit 42 Retainer](https://www.paloaltonetworks.com/unit42/retainer?ts=markdown)
  
  * [Transform](https://www.paloaltonetworks.com/unit42/transform?ts=markdown)
  
  * [IR Plan Development and Review](https://www.paloaltonetworks.com/unit42/transform/incident-response-plan-development-review?ts=markdown)
  
  * [Security Program Design](https://www.paloaltonetworks.com/unit42/transform/security-program-design?ts=markdown)
  
  * [Virtual CISO](https://www.paloaltonetworks.com/unit42/transform/vciso?ts=markdown)
  
  * [Zero Trust Advisory](https://www.paloaltonetworks.com/unit42/transform/zero-trust-advisory?ts=markdown)  
    [Global Customer Services](https://www.paloaltonetworks.com/services?ts=markdown)
  
  * [Education \& Training](https://www.paloaltonetworks.com/services/education?ts=markdown)
  
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    UNIT 42 RETAINER
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* Partners  
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  * [Solution Providers](https://www.paloaltonetworks.com/partners/nextwave-solution-providers?ts=markdown)
  * [Managed Security Service Providers](https://www.paloaltonetworks.com/partners/managed-security-service-providers?ts=markdown)
  * [XMDR Partners](https://www.paloaltonetworks.com/partners/managed-security-service-providers/xmdr?ts=markdown)  
    Take Action
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  * [Become a Partner](https://paloaltonetworks.my.site.com/NextWavePartnerProgram/s/partnerregistration?type=becomepartner)
  * [Request Access](https://paloaltonetworks.my.site.com/NextWavePartnerProgram/s/partnerregistration?type=requestaccess)
  * [Find a Partner](https://paloaltonetworks.my.site.com/NextWavePartnerProgram/s/partnerlocator)  
    [CYBERFORCE
    CYBERFORCE represents the top 1% of partner engineers trusted for their security expertise.
    Learn more](https://www.paloaltonetworks.com/cyberforce?ts=markdown)

* Company  
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  Palo Alto Networks
  
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  * [Precision AI Security](https://www.paloaltonetworks.com/precision-ai-security?ts=markdown)
  * [Our Platform Approach](https://www.paloaltonetworks.com/why-paloaltonetworks/platformization?ts=markdown)
  * [Accelerate Your Cybersecurity Transformation](https://www.paloaltonetworks.com/why-paloaltonetworks/nam-cxo-portfolio?ts=markdown)
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    Careers
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    Read more](https://www.paloaltonetworks.com/company/press/2021/palo-alto-networks-secures-top-ranking-on-newsweek-s-most-loved-workplaces-list-for-2021?ts=markdown)

* More  
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  * [Threat Vector Podcast](https://unit42.paloaltonetworks.com/unit-42-threat-vector-podcast/)
  * [Packet Pushers Podcasts](https://www.paloaltonetworks.com/podcasts/packet-pusher?ts=markdown)  
    Connect
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3. [What Is a Proxy Server? \[Definition \& Explanation\]](https://www.paloaltonetworks.com/cyberpedia/what-is-a-proxy-server?ts=markdown)  
   Table of Contents

* [What is the difference between a business and consumer proxy?](#what-is-the-difference-between-a-business-and-consumer-proxy)
* [How do proxy servers work?](#how-do-proxy-servers-work)
* [What are the benefits of proxy servers?](#what-are-the-benefits-of-proxy-servers)
* [What are the limitations of proxy servers?](#what-are-the-limitations-of-proxy-servers)
* [What are the different types of proxy servers?](#what-are-the-different-types-of-proxy-servers)
* [Comparing proxy servers with other types of security technologies](#comparing-proxy-servers-with-other-types-of-security-technologies)
* [Proxy server FAQs](#proxy-server-faqs)

# What Is a Proxy Server? \[Definition \& Explanation\]

6 min. read  
Table of Contents

* [What is the difference between a business and consumer proxy?](#what-is-the-difference-between-a-business-and-consumer-proxy)
* [How do proxy servers work?](#how-do-proxy-servers-work)
* [What are the benefits of proxy servers?](#what-are-the-benefits-of-proxy-servers)
* [What are the limitations of proxy servers?](#what-are-the-limitations-of-proxy-servers)
* [What are the different types of proxy servers?](#what-are-the-different-types-of-proxy-servers)
* [Comparing proxy servers with other types of security technologies](#comparing-proxy-servers-with-other-types-of-security-technologies)
* [Proxy server FAQs](#proxy-server-faqs)

1. What is the difference between a business and consumer proxy?

* [1. What is the difference between a business and consumer proxy?](#what-is-the-difference-between-a-business-and-consumer-proxy)
* [2. How do proxy servers work?](#how-do-proxy-servers-work)
* [3. What are the benefits of proxy servers?](#what-are-the-benefits-of-proxy-servers)
* [4. What are the limitations of proxy servers?](#what-are-the-limitations-of-proxy-servers)
* [5. What are the different types of proxy servers?](#what-are-the-different-types-of-proxy-servers)
* [6. Comparing proxy servers with other types of security technologies](#comparing-proxy-servers-with-other-types-of-security-technologies)
* [7. Proxy server FAQs](#proxy-server-faqs)

A proxy server is a network-layer device that intercepts traffic between a client and a destination. It evaluates, forwards, or modifies that traffic based on how it's configured.

In business environments, proxy functionality is commonly built into security infrastructure like next-generation firewalls, load balancers, and web application firewalls.

## What is the difference between a business and consumer proxy?

Before we get into the details of proxy servers, it's worth taking a moment to make a distinction between business and consumer grade proxy servers.

**Consumer proxies are typically used by individuals who want more privacy or access to restricted content.** They're often browser-based, limited in scope, and configured manually to mask the user's IP address or bypass geo-blocks.

**Enterprise proxies are integrated into the network infrastructure itself.** They operate at scale and support centralized control, traffic inspection, and policy enforcement.

Enterprise proxy functionality is often built into tools like [next-generation firewalls](https://www.paloaltonetworks.com/cyberpedia/what-is-a-next-generation-firewall-ngfw), load balancers, or [WAN optimizers](https://www.paloaltonetworks.com/cyberpedia/what-is-wan-optimization-wan-acceleration).

## How do proxy servers work?

The process differs slightly between business and consumer proxy server products.

**Here's how a business proxy server works:**  
!\[Architecture diagram titled 'How a business proxy server works.' It shows three main icons connected by arrows, from left to right: a user icon labeled 'User,' a server icon labeled 'Proxy server,' and a globe icon labeled 'Internet.' The 'Proxy server' icon is centered inside a dotted box labeled 'Corporate network.' Above the proxy server is a vertical label that reads 'Corporate policy' in blue, with two items listed beneath: 'URL filtering' and 'Content caching.' Arrows run bidirectionally between the user and the proxy server, and between the proxy server and the internet, indicating that all traffic flows through the proxy.\](https://www.paloaltonetworks.com/content/dam/pan/en\_US/images/cyberpedia/what-is-a-proxy-server/Proxy 2025\_1.png "Architecture diagram titled 'How a business proxy server works.' It shows three main icons connected by arrows, from left to right: a user icon labeled 'User,' a server icon labeled 'Proxy server,' and a globe icon labeled 'Internet.' The 'Proxy server' icon is centered inside a dotted box labeled 'Corporate network.' Above the proxy server is a vertical label that reads 'Corporate policy' in blue, with two items listed beneath: 'URL filtering' and 'Content caching.' Arrows run bidirectionally between the user and the proxy server, and between the proxy server and the internet, indicating that all traffic flows through the proxy.")

1. A user sends a request, which the proxy intercepts.
2. The proxy responds to the request back to the client to keep the session open, and opens a second connection to the destination.
3. This gives the proxy full visibility into the traffic --- allowing for decryption, inspection, filtering, and policy enforcement.
4. Proxies may also cache content or reroute traffic for performance and reliability.
5. Most enterprise proxies operate transparently, with no user configuration needed.

**Here's how a consumer proxy works:**  
![Architecture diagram titled 'How a consumer proxy server works.' It displays three main icons arranged from left to right: a user icon labeled 'User' inside a dotted box labeled 'Home network,' a server icon labeled 'Proxy server,' and a globe icon labeled 'Internet.' A green arrow labeled 'VPN tunnel' with a padlock icon runs from the user to the proxy server, indicating a secure connection. Below the VPN tunnel arrow is the word 'Anonymity.' A separate bidirectional arrow connects the proxy server to the internet, showing that internet traffic is routed through the proxy server after leaving the user's network.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/what-is-a-proxy-server/Proxy2025_2.png "Architecture diagram titled 'How a consumer proxy server works.' It displays three main icons arranged from left to right: a user icon labeled 'User' inside a dotted box labeled 'Home network,' a server icon labeled 'Proxy server,' and a globe icon labeled 'Internet.' A green arrow labeled 'VPN tunnel' with a padlock icon runs from the user to the proxy server, indicating a secure connection. Below the VPN tunnel arrow is the word 'Anonymity.' A separate bidirectional arrow connects the proxy server to the internet, showing that internet traffic is routed through the proxy server after leaving the user's network.")

1. The user configures a proxy in their browser or OS.
2. All web requests are routed through the proxy server.
3. The proxy replaces the user's IP address with its own and forwards the request to the destination site.
4. It may return cached content or filter requests based on user-defined rules.

## What are the benefits of proxy servers?

Proxy servers offer different benefits depending on where and how they're used.

The table below breaks down common benefits for both enterprise and consumer environments.

|                                                                                                                      **Proxy server benefits**                                                                                                                      |||
|             Type             |            Benefit            |                                                                                              Description                                                                                               |
|------------------------------|-------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| **Enterprise proxy benefit** | TLS decryption                | Terminates encrypted sessions so tools can inspect HTTPS traffic.                                                                                                                                      |
| **Enterprise proxy benefit** | App-layer policy enforcement  | Applies [URL filtering](https://www.paloaltonetworks.com/cyberpedia/what-is-url-filtering), application controls, and [malware](https://www.paloaltonetworks.com/cyberpedia/what-is-malware) scanning. |
| **Enterprise proxy benefit** | DLP and logging visibility    | Logs traffic to show what data is in motion, by whom, and where it's going.                                                                                                                            |
| **Enterprise proxy benefit** | Traffic routing and filtering | Supports [SD-WAN](https://www.paloaltonetworks.com/cyberpedia/what-is-sd-wan), load balancing, and policy-based traffic control.                                                                       |
| **Enterprise proxy benefit** | Transparent operation         | Works in-line without requiring any user configuration.                                                                                                                                                |
| **Consumer proxy benefit**   | IP masking                    | Replaces the user's IP to make activity harder to trace.                                                                                                                                               |
| **Consumer proxy benefit**   | Bypass content restrictions   | Routes around blocked websites or network filters.                                                                                                                                                     |
| **Consumer proxy benefit**   | Location spoofing             | Makes traffic appear to originate from another country.                                                                                                                                                |
| **Consumer proxy benefit**   | Circumvent geo-blocking       | Accesses region-specific sites by routing through a proxy.                                                                                                                                             |
| **Consumer proxy benefit**   | Reduce ISP tracking           | Limits visibility into browsing activity, though without [encryption](https://www.paloaltonetworks.com/cyberpedia/data-encryption).                                                                    |
| **Consumer proxy benefit**   |

## What are the limitations of proxy servers?

Proxy servers play a critical role in both consumer and enterprise environments, but they aren't without limitations. Some of the most common concerns are misunderstood or misattributed, especially when consumer and enterprise use cases are conflated.

In enterprise environments, proxying is a foundational mechanism that enables deeper visibility, control, and traffic enforcement. But it comes with tradeoffs --- not in terms of security flaws, but in terms of scale, complexity, and compatibility.

In consumer settings, proxy servers are often used for privacy, location masking, or bypassing content restrictions. But when these services are unvetted --- especially free proxies --- they introduce a different set of limitations, often tied to trust, transparency, and security.

The tables below break down the most common limitations of proxy servers in both enterprise and consumer contexts.

|                                                                    **Proxy server limitations**                                                                     |||
|              Type               |             Limitation             |                                          Description                                           |
|---------------------------------|------------------------------------|------------------------------------------------------------------------------------------------|
| **Enterprise proxy limitation** | Scalability                        | Decrypting and inspecting traffic at scale requires significant processing power and memory.   |
| **Enterprise proxy limitation** | Latency                            | Session termination and inspection can add delay, especially with deep inspection and logging. |
| **Enterprise proxy limitation** | Management complexity              | Certificate handling, session timeouts, and exception management can add operational overhead. |
| **Enterprise proxy limitation** | Application compatibility          | Some legacy apps or apps with certificate pinning may break or require reconfiguration.        |
| **Consumer proxy limitation**   | Traffic logging and data resale    | Some services collect and sell user data, including IP addresses and browsing activity.        |
| **Consumer proxy limitation**   | Lack of trust and transparency     | Users may not know who operates the proxy or whether it's secure or ethical.                   |
| **Consumer proxy limitation**   | No encryption guarantees           | Basic proxies don't encrypt traffic, exposing data on public or untrusted networks.            |
| **Consumer proxy limitation**   | Malvertising and content injection | Free proxies may inject ads or alter content, potentially exposing users to malware.           |

## What are the different types of proxy servers?

Proxy servers can be categorized based on their role in the network, how visible they are to users, or the kinds of traffic they support.

### By network role

#### Forward proxy

![Architecture diagram titled 'Forward proxy.' On the left, a dotted box labeled 'Private network' contains three vertically stacked device icons: a laptop, a desktop, and a mobile phone. A right-facing arrow leads from the private network to a central server icon labeled 'Forward proxy.' From the forward proxy, three arrows branch out to the right, each pointing to a separate server icon. These icons are grouped under the label 'Resources on the internet,' indicating that the proxy forwards traffic from internal devices to external web resources.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/what-is-a-proxy-server/Proxy2025_3.png "Architecture diagram titled 'Forward proxy.' On the left, a dotted box labeled 'Private network' contains three vertically stacked device icons: a laptop, a desktop, and a mobile phone. A right-facing arrow leads from the private network to a central server icon labeled 'Forward proxy.' From the forward proxy, three arrows branch out to the right, each pointing to a separate server icon. These icons are grouped under the label 'Resources on the internet,' indicating that the proxy forwards traffic from internal devices to external web resources.")

A forward proxy acts on behalf of the client. It sits between internal users and external services, forwarding client requests to the internet. This is the most common type of proxy in enterprise networks, where it's used for traffic filtering, TLS decryption, policy enforcement, and user activity logging.

**Applies to:** Business

#### Reverse proxy

![Architecture diagram titled 'Forward proxy.' On the left, a dotted box labeled 'Private network' contains three vertically stacked device icons: a laptop, a desktop, and a mobile phone. A right-facing arrow leads from the private network to a central server icon labeled 'Forward proxy.' From the forward proxy, three arrows branch out to the right, each pointing to a separate server icon. These icons are grouped under the label 'Resources on the internet,' indicating that the proxy forwards traffic from internal devices to external web resources.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/what-is-a-proxy-server/Proxy2025_4.png "Architecture diagram titled 'Forward proxy.' On the left, a dotted box labeled 'Private network' contains three vertically stacked device icons: a laptop, a desktop, and a mobile phone. A right-facing arrow leads from the private network to a central server icon labeled 'Forward proxy.' From the forward proxy, three arrows branch out to the right, each pointing to a separate server icon. These icons are grouped under the label 'Resources on the internet,' indicating that the proxy forwards traffic from internal devices to external web resources.")

A reverse proxy acts on behalf of a server or service. It receives incoming requests from external clients and routes them to backend systems. Reverse proxies are typically used for load balancing, TLS termination, traffic steering, and web application protection.

**Applies to:** Business

### By transparency and behavior

#### Transparent proxy

![Architecture diagram titled 'Reverse proxy.' On the left, three vertically stacked icons representing a laptop, a desktop, and a mobile device are grouped under the label 'Clients on the internet.' Each device is connected with an arrow pointing to a central server icon labeled 'Reverse proxy.' On the right, a dotted box labeled 'Resources on a private network' contains three vertically stacked server icons, including one with a cylindrical database symbol in the middle. A single arrow runs from the private network resources to the reverse proxy, indicating that the proxy sits in front of internal resources and manages inbound requests from external clients.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/what-is-a-proxy-server/Proxy2025_5.png "Architecture diagram titled 'Reverse proxy.' On the left, three vertically stacked icons representing a laptop, a desktop, and a mobile device are grouped under the label 'Clients on the internet.' Each device is connected with an arrow pointing to a central server icon labeled 'Reverse proxy.' On the right, a dotted box labeled 'Resources on a private network' contains three vertically stacked server icons, including one with a cylindrical database symbol in the middle. A single arrow runs from the private network resources to the reverse proxy, indicating that the proxy sits in front of internal resources and manages inbound requests from external clients.")

Transparent proxies intercept traffic without requiring users to manually configure proxy settings. They're common in enterprise deployments because they simplify user experience while allowing centralized policy enforcement. Despite being "invisible" to the user, they still inspect, filter, and log traffic.

**Applies to:** Business

#### Explicit proxy

![The image is a labeled diagram titled 'Explicit proxy.' On the left, three device icons are labeled 'Sales,' 'HR,' and 'Developers' under a section marked 'Corporate network.' Each device points to a shared circular icon labeled 'Default gateway,' which is connected by an arrow to a central server icon labeled 'Proxy server.' From the proxy server, a right-facing arrow leads to a globe icon labeled 'Internet,' and a return arrow points back to the proxy server. The diagram shows that network traffic from different departments is directed through a default gateway to a designated proxy server before reaching the internet.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/what-is-a-proxy-server/Proxy2025_6.png "The image is a labeled diagram titled 'Explicit proxy.' On the left, three device icons are labeled 'Sales,' 'HR,' and 'Developers' under a section marked 'Corporate network.' Each device points to a shared circular icon labeled 'Default gateway,' which is connected by an arrow to a central server icon labeled 'Proxy server.' From the proxy server, a right-facing arrow leads to a globe icon labeled 'Internet,' and a return arrow points back to the proxy server. The diagram shows that network traffic from different departments is directed through a default gateway to a designated proxy server before reaching the internet.")

An explicit proxy requires the client device or application to be configured with the proxy's address. While more rigid from a usability standpoint, explicit proxies give organizations tighter control over which traffic is proxied and how it's handled.

**Applies to:** Business

#### Anonymous proxy

![Architecture diagram titled 'Anonymous proxy.' On the left, three vertically stacked device icons labeled 'Proxy client (you)' include a laptop, a desktop, and a mobile device. Each is connected by an arrow to a central box labeled 'Transparent proxy,' which includes the note 'Proxy rules are applied (filtering/caching).' An arrow extends from the transparent proxy to a globe icon labeled 'Destination website.' Below the devices is the IP label 'IP: 1.1.1.1' with the description 'Proxy client’s IP address.' Below the proxy is the label 'IP: 2.2.2.2' with the description 'The proxy completely hides the original request.' Below the destination website is the same IP label 'IP: 2.2.2.2' with the description 'The destination website can only see the IP address of the proxy.' The diagram shows that the proxy masks the original client’s IP address and only reveals its own IP to the destination website.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/what-is-a-proxy-server/Proxy2025_7.png "Architecture diagram titled 'Anonymous proxy.' On the left, three vertically stacked device icons labeled 'Proxy client (you)' include a laptop, a desktop, and a mobile device. Each is connected by an arrow to a central box labeled 'Transparent proxy,' which includes the note 'Proxy rules are applied (filtering/caching).' An arrow extends from the transparent proxy to a globe icon labeled 'Destination website.' Below the devices is the IP label 'IP: 1.1.1.1' with the description 'Proxy client’s IP address.' Below the proxy is the label 'IP: 2.2.2.2' with the description 'The proxy completely hides the original request.' Below the destination website is the same IP label 'IP: 2.2.2.2' with the description 'The destination website can only see the IP address of the proxy.' The diagram shows that the proxy masks the original client’s IP address and only reveals its own IP to the destination website.")

Anonymous proxies mask a user's IP address to increase online privacy or bypass content restrictions. These are rarely used in enterprise environments and often lack the inspection, control, or trust models required for secure deployment.

**Applies to:** Consumer

### By protocol support

#### HTTP/HTTPS proxy

![Diagram titled 'HTTP/HTTPS proxy' illustrating the flow of traffic from proxy clients to destination websites through an HTTP/S proxy. On the left, three client devices are shown stacked vertically and labeled 'Proxy client (you),' each connected to a proxy server via solid arrows. A note below states: 'For HTTPS, proxy clients present client certificate to proxy server.' In the center, a box labeled 'HTTP/S proxy' contains the description: 'HTTP/S proxy inspects the traffic that flows through it, using client and server certificates.' From the proxy box, two arrows point to the right. The top arrow is labeled 'HTTP/S proxy presents a client certificate to destination' and connects to a green-locked icon labeled 'Destination website using HTTPS.' The bottom arrow is labeled 'Client certificate not needed for HTTP' and connects to a gray-unlocked icon labeled 'Destination website without HTTPS.'](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/what-is-a-proxy-server/HTTP-HTTPS-Proxy.png)

These proxies are designed for web traffic. HTTP proxies can inspect unencrypted traffic, while HTTPS proxies can decrypt and inspect TLS-encrypted traffic if configured with the appropriate certificates. They're widely used in enterprise [firewalls](https://www.paloaltonetworks.com/cyberpedia/what-is-a-firewall) and secure web gateways.

**Applies to:** Business

#### SOCKS proxy

![Architecture diagram titled 'SOCKS proxy.' On the left side, a section labeled 'Your SOCKS capable client applications' displays icons for Chrome, Microsoft, Slack, and Zoom. Arrows labeled with steps 1 through 5 point from this section to the center box labeled 'SOCKS proxy server.' These steps are '1. Client negotiation,' '2. Server negotiation,' '3. Authentication,' '4. Client request,' and '5. Server data.' A separate section on the right labeled 'Destination website' contains a globe icon. Arrows from the SOCKS proxy server to this destination show steps '6. Request' and '7. Response,' followed by a final arrow labeled '8. Data' that loops back from the destination website to both the SOCKS proxy server and the client applications. The diagram illustrates the full bidirectional communication process between SOCKS-enabled applications, the proxy server, and the destination website.](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/what-is-a-proxy-server/Proxy2025_8.png "Architecture diagram titled 'SOCKS proxy.' On the left side, a section labeled 'Your SOCKS capable client applications' displays icons for Chrome, Microsoft, Slack, and Zoom. Arrows labeled with steps 1 through 5 point from this section to the center box labeled 'SOCKS proxy server.' These steps are '1. Client negotiation,' '2. Server negotiation,' '3. Authentication,' '4. Client request,' and '5. Server data.' A separate section on the right labeled 'Destination website' contains a globe icon. Arrows from the SOCKS proxy server to this destination show steps '6. Request' and '7. Response,' followed by a final arrow labeled '8. Data' that loops back from the destination website to both the SOCKS proxy server and the client applications. The diagram illustrates the full bidirectional communication process between SOCKS-enabled applications, the proxy server, and the destination website.")

A protocol-agnostic proxy that forwards traffic from any TCP or UDP connection. SOCKS proxies don't inspect traffic --- they simply pass it through. They're used more often for location masking or circumvention, not enterprise-grade traffic control or visibility.

\*\*Applies to:\*\*Consumer

## Comparing proxy servers with other types of security technologies

Proxy servers aren't the only technology that reroutes or inspects traffic.

To understand how they fit into broader security architectures, it's useful to compare them with three common alternatives: [VPNs](https://www.paloaltonetworks.com/cyberpedia/what-is-a-vpn), [secure web gateways (SWGs)](https://www.paloaltonetworks.com/cyberpedia/what-is-secure-web-gateway), and [secure access service edge (SASE)](https://www.paloaltonetworks.com/cyberpedia/what-is-sase) solutions.

Each technology offers different levels of visibility, encryption, and control.

|       Parameter        |                Proxy server                 |                      VPN                       |                  SWG (secure web gateway)                  |                       SASE (secure access service edge)                        |
|------------------------|---------------------------------------------|------------------------------------------------|------------------------------------------------------------|--------------------------------------------------------------------------------|
| **Traffic encryption** | None by default                             | Full encryption of all traffic                 | Encrypts and inspects HTTP/HTTPS traffic                   | Encrypts and inspects all traffic across protocols                             |
| **Traffic scope**      | Application-level                           | System-level                                   | Web traffic (HTTP/HTTPS) only                              | All ports, protocols, users, and locations                                     |
| **IP address masking** | Yes                                         | Yes                                            | Yes (as part of proxy-based inspection)                    | Yes (via integrated identity and access controls)                              |
| **Data privacy**       | Limited --- data not encrypted              | Strong --- encrypted in transit                | Moderate --- focused on web data inspection                | High --- encryption plus identity-aware policy enforcement                     |
| **Performance impact** | Low (may use caching)                       | Moderate (due to encryption overhead)          | Moderate --- depends on inspection depth                   | Moderate to high --- depends on architecture and implementation                |
| **Setup complexity**   | Requires per-app or per-device config       | One-time setup for all apps                    | Deployed as part of cloud or on-prem network perimeter     | Delivered as a unified cloud service, can replace multiple point solutions     |
| **Primary use case**   | Privacy, IP masking, content filtering      | Secure remote access, privacy, data protection | Web security and filtering, agentless inspection           | Converged networking and security for remote and hybrid workforces             |
| **Enterprise role**    | Used in isolation or within SWG/SASE stacks | Used for secure remote employee access         | Provides controlled access to web content, malware defense | Full-featured secure connectivity platform with networking and security in one |

As the table shows, proxy servers offer lightweight traffic control, while VPNs, SWGs, and SASE provide broader security coverage depending on organizational needs.  
| ***Further reading:** [Secure Web Gateway vs. Proxy Server: What Is the Difference?](https://www.paloaltonetworks.com/cyberpedia/swg-vs-proxy)*  
![Icon of a document](https://www.paloaltonetworks.com/content/dam/pan/en_US/images/cyberpedia/what-is-rlhf/icon-rlhf-document.svg)

## Find out how to modernize your proxy architecture for scalable, cloud-ready security, featuring *Future-proofing Your Proxy Architecture*.

[Download white paper](https://www.paloaltonetworks.com/resources/whitepapers/future-proofing-your-proxy-architecture)

## Proxy server FAQs

### How do proxy servers hide IP addresses?

Proxy servers conceal IP addresses by acting as intermediaries in internet connections. When a request is made, the proxy server forwards it to the web, using its own IP address rather than the original requester's. Thus, the destination server sees the proxy's IP address, not the user's, effectively masking the original IP address.

### What does a proxy server do?

A proxy server routes traffic between a user and the internet. It hides the user's IP address, forwards requests to websites, and can filter or cache content. Proxies are used for privacy, access control, and performance optimization---but do not encrypt traffic by default.

### Is a proxy server like a VPN?

A proxy hides your IP address and reroutes specific app traffic, but it doesn't encrypt data. A VPN encrypts all device traffic and provides stronger privacy by protecting both your location and the content of your communications. VPNs offer broader security than proxies.

### Can my IP be tracked if I use a proxy?

Yes. While a proxy hides your IP from websites, it doesn't guarantee full anonymity. If the proxy logs your activity or leaks your IP, it can be traced. Advanced techniques or poorly configured proxies may still expose your real IP address.

### What is the proxy server of my WiFi?

A proxy server on your WiFi is an intermediary configured to route your internet traffic. It may be set by your network administrator or device settings. If no proxy is configured, your WiFi connection likely communicates directly with websites without proxy routing.

### Is a proxy server safe?

A proxy server can be safe if properly configured and managed. However, proxies don't encrypt traffic by default, so data may still be exposed. Free or untrusted proxies can log activity or inject malicious content, posing privacy and security risks.
Related content  
[Guide: 5 Misconceptions About Secure Web Gateways
Learn today's five most common misconceptions about SWGs + how to correct them.](https://www.paloaltonetworks.com/resources/guides/5-misconceptions-about-secure-web-gateways?ts=markdown)  
[Securing Internet Access by Using Explicit Proxy
This solution guide provides design and deployment guidance for securing internet access by using Palo Alto Networks Prisma SASE explicit proxy.](https://www.paloaltonetworks.com/blog/sase/unleashing-the-benefits-of-cloud-swg-with-agent-based-proxy/?utm_source=chatgpt.com&ts=markdown)  
[Infographic: Future-proofing Your Proxy Architecture
See the path to modernizing proxy architecture at a high level.](https://www.paloaltonetworks.com/resources/infographics/future-proofing-your-proxy-architecture?ts=markdown)  
[White paper: Defending Against Modern Web-Based Threats
Get details on the right methodology to detect evasive and unknown threats.](https://www.paloaltonetworks.com/resources/ebooks/defending-against-modern-web-based-threats?ts=markdown)  
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