A communication method includes a transmit-end tunnel end points (VTEP) may intercept a broadcast packet that does not have a destination address and that is sent by a transmit-end virtual machine, acquire an Internet Protocol (IP) address list of a receive-end VTEP that belongs to same virtual extensible local area network (VXLAN) as the transmit-end VTEP, encapsulate the broadcast packet into a unicast packet according to an IP address of the receive-end VTEP, and send, in a form of the unicast packet, the original packet to another receive-end VTEP on the same VXLAN, where avoiding using a multicast manner to perform communication between VTEPs on the VXLAN such that construction of the VXLAN no longer depends on a multicast group quantity or capability of a tunnel end point, which extends application of the VXLAN.