Which action must you take to implement VXLAN in an environment that runs the Cisco Nexus 1000V Essential edition?

While different licenses unlock various features, the question asks how to implement VXLAN in the *Essential edition*, implying the feature is available and activated by a command, not necessarily an upgrade.

In the Cisco Nexus 1000V Series Switch, the `feature segmentation` command is used to enable the core network segmentation capabilities, which include VXLAN (Virtual Extensible LAN) functionality. The Essential edition supports basic VXLAN features for overlay networking by activating this command.

The `feature vxlan-gateway` command is specific to configuring a VXLAN gateway, not the primary command for enabling the base VXLAN feature on the Virtual Supervisor Module (VSM).

Purchasing and installing an Enterprise edition license provides more advanced features, but VXLAN support in the Essential edition is enabled via the `feature segmentation` command itself.