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  • PEAP sets up a TLS encrypted session before MS-CHAPv2 data is sent. PPTP uses PPP to send the MS-CHAPv2 data. The PPTP authentication process could be seen by a network sniffer but the PEAP authentication process is encrypted.

    Sources:
    CWSP Guide pages 305 & 260
    http://www.microsoft.com/technet/community/columns/cableguy/cg0702.mspx#EEAA

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