Encapsulation is a fundamental concept in the layered approach of network communication, particularly in the OSI (Open Systems Interconnection) model and TCP/IP model. However, it does not occur at every single layer. Encapsulation primarily occurs in the following layers:
Application Layer: Data from user applications is formatted appropriately for further handling by the network.
Transport Layer: Data segments from the application layer are encapsulated into segments (in TCP) or datagrams (in UDP) here.
Network Layer: Encapsulates the segments/datagrams into packets, often referred to as IP packets or datagrams.
Data Link Layer: Frames are formed here by encapsulating packets with a header and a trailer to prepare them for transmission over physical media.
Each layer adds its own header (and sometimes a footer) to the data unit received from the layer above. This process of adding headers and footers at each layer effectively "wraps" the original user data, ensuring that it travels securely and is directed properly across the network. However, the physical layer, for example, deals primarily with the transmission of raw bit streams over a physical medium and does not encapsulate the data further, instead, it converts frames into electrical, optical, or radio signals.
Thus, while encapsulation is a key operation in several layers of network models, stating it occurs at all layers would be inaccurate.