Contract performance optimization

Updated: April 15, 2026

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Policy compression improves ternary content-addressable memory efficiency by compressing compatible bidirectional contract rules and combining their statistics.

Ternary content-addressable memory (TCAM) optimization, also called policy compression, stores compatible bidirectional contract rules more efficiently in hardware.

Is supported on second-generation Cisco Nexus 9000 Series top-of-rack switches with an -EX, -FX, -FX2, or later product ID suffix.
Requires the Enable Policy Compression directive on contract subjects.
Requires the reverse port option for filters that specify TCP or UDP ports.

Policy compression configuration and limitations

To optimize TCAM storage for contract rules, complete the following configuration:

Configure the contract to apply in both directions between the provider and consumer EPGs.
For filters that specify TCP or UDP ports, enable the reverse port option.
When you configure the contract subject, select Enable Policy Compression. This directive adds the no_stats option to the action attribute of the actrl:Rule managed object.

The following limitations apply to policy compression:

Per-rule statistics are not available. Combined hardware statistics for both directions remain available.
After you upgrade to Cisco APIC release 3.2(1), delete and reconfigure contract subjects that were created before the upgrade to enable policy compression.
Rules with a priority other than fully_qual are not compressed.
Opposite-direction rules are not compressed if properties such as action, including directives, prio, qos, or markDscp, are not identical.
Rules that use Implicit or implarp filters are not compressed.
Rules with the Deny, Redir, Copy, or Deny-log action are not compressed.

Table 1. Compression matrix
Reverse filter port enabled	TCP or UDP source port	TCP or UDP destination port	Compressed
Yes	Port A	Port B	Yes
Yes	Unspecified	Port B	Yes
Yes	Port A	Unspecified	Yes
Yes	Unspecified	Unspecified	Yes
No	Port A	Port B	No
No	Unspecified	Port B	No
No	Port A	Unspecified	No
No	Unspecified	Unspecified	Yes

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