How do service projects utilize Shared VPC?

Service projects utilize Shared VPC to access network resources of host projects, enabling efficient resource sharing within a Google Cloud organization. In a Shared VPC setup, a host project contains the virtual network resources, such as subnets, firewalls, and VPNs, while service projects can connect to and use these resources without needing to duplicate them in their own projects.

This architecture allows for better network management and security, as the organization can enforce policies and controls centrally from the host project. Service projects can benefit from the shared network while maintaining their own independence for other Google Cloud resources, facilitating collaboration and resource optimization across the organization.

In contrast, options involving isolated networks, managing authentication mechanisms, and delegating administrative rights do not accurately reflect the unique functionality that Shared VPC provides. They pertain to different aspects of network management and security rather than the specific capacity of service projects to leverage the resources established in host projects.