Multi-Layer Switching (MLS) has become a highly desired method of accelerating routing performance through the use of dedicated Application Specific Integrated Circuits (ASICs). Traditional routing is done through a central CPU and software. MLS offloads a significant portion of routing (packet rewrite) to hardware, and thus has also been termed switching. MLS and Layer 3 switching are equivalent terms.
(All Layer-Three Switching and Forwarding Configuration Examples and TechNotes)