WRED-Explicit Congestion Notification Feature Overview
Currently, the congestion control and avoidance algorithms for Transmission Control Protocol (TCP) are based on the idea that packet loss is an appropriate indication of congestion on networks transmitting data using the best-effort service model. When a network uses the best-effort service model, the network delivers data if it can, without any assurance of reliability, delay bounds, or throughput. However, these algorithms and the best-effort service model are not suited to applications that are sensitive to delay or packet loss (for instance, interactive traffic including Telnet, web-browsing, and transfer of audio and video data). Weighted Random Early Detection (WRED), and by extension, Explicit Congestion Notification (ECN), helps to solve this problem.
RFC 3168, The Addition of Explicit Congestion Notification (ECN) to IP, states that with the addition of active queue management (for example, WRED) to the Internet infrastructure, routers are no longer limited to packet loss as an indication of congestion.