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vDS - Traffic shaping of what exactly?

I'm hoping someone can clarify exactly what the traffic shaping policy does.

I've read parts of the vsphere-vnetwork-ds-migration-configuration-wp.pdf and if I've understood this the traffic shaping only happens from the Virtual Machine to the vDs.

Excerpt from the White Paper.

• TrafficShapingPolicies.These policies apply to the dvPorts connecting the VMs and virtual ports (vmkernel ports,service console ports) and are relative to those ports. The same rules apply for DV Port Groups and DV Uplink Port Groups:

– Ingress Traffic Shaping governs the flow from the VM or virtual port to the vSwitch (vDS).

– Egress Traffic Shaping governs the flow from the vSwitch (vDS) to the VM or virtual port.

Question(s)

1. Is this traffic shaping limited per host or does it apply to hosts connected to the vDS?

2. What about traffic from physical servers on the network connecting in to a Virtual Machine with a traffic shaped policy?

Many thanks,

Darren.

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