The Transport Layer — delivery driver knows how to knock on your door to tell you your package has arrived. — MEET AND GREET, ETIQUETTE, HANDSHAKES

Transport Layer uses tcp segments.
Tcp Segments encapsulates ip datagram which encapsulates which encapsulates ethernet frame.

The protocols of this layer provide host-to-host communication services for applications. It provides services such as connection-oriented communication, reliability, flow control, and multiplexing.

The transport layer is responsible for delivering data to the appropriate application process on the host computers. This involves statistical multiplexing of data from different application processes, i.e. forming data segments, and adding source and destination port numbers in the header of each transport layer data segment. Together with the source and destination IP address, the port numbers constitutes a network socket, i.e. an identification address of the process-to-process communication. In the OSI model, this function is supported by the session layer.

The best-known transport protocol of TCP/IP is the Transmission Control Protocol (TCP), and lent its name to the title of the entire suite. It is used for connection-oriented transmissions, whereas the connectionless User Datagram Protocol (UDP) is used for simpler messaging transmissions. TCP is the more complex protocol, due to its stateful design incorporating reliable transmission and data stream services. Other protocols in this group are the Datagram Congestion Control Protocol (DCCP) and the Stream Control Transmission Protocol (SCTP).

Transport layer Handles data-consistency functions, i.e., provides a reliable byte stream between two nodes on a network.

TCP and UDP work at this level.
+sorts clients and server data
+tcp provides mechanisms for data delivery

Transport layer services are conveyed to an application via a programming interface to the transport layer protocols. The services may include the following features:

Connection-oriented communication: It is normally easier for an application to interpret a connection as a data stream rather than having to deal with the underlying connection-less models, such as the datagram model of the User Datagram Protocol (UDP) and of the Internet Protocol (IP).

Same order delivery: The network layer doesn’t generally guarantee that packets of data will arrive in the same order that they were sent, but often this is a desirable feature. This is usually done through the use of segment numbering, with the receiver passing them to the application in order. This can cause head-of-line blocking.

Reliability: Packets may be lost during transport due to network congestion and errors. By means of an error detection code, such as a checksum, the transport protocol may check that the data is not corrupted, and verify correct receipt by sending an ACK or NACK message to the sender. Automatic repeat request schemes may be used to retransmit lost or corrupted data.

Flow control: The rate of data transmission between two nodes must sometimes be managed to prevent a fast sender from transmitting more data than can be supported by the receiving data buffer, causing a buffer overrun. This can also be used to improve efficiency by reducing buffer underrun.

Congestion avoidance: Congestion control can control traffic entry into a telecommunications network, so as to avoid congestive collapse by attempting to avoid oversubscription of any of the processing or link capabilities of the intermediate nodes and networks and taking resource reducing steps, such as reducing the rate of sending packets. For example, automatic repeat requests may keep the network in a congested state; this situation can be avoided by adding congestion avoidance to the flow control, including slow-start. This keeps the bandwidth consumption at a low level in the beginning of the transmission, or after packet retransmission.

Multiplexing: Ports can provide multiple endpoints on a single node. For example, the name on a postal address is a kind of multiplexing, and distinguishes between different recipients of the same location. Computer applications will each listen for information on their own ports, which enables the use of more than one network service at the same time. It is part of the transport layer in the TCP/IP model, but of the session layer in the OSI model.