Each small rectangle represents 1 Kbit of data. When you press Start, the rectangles are grouped into one packet in the transmit buffer of the source. The packet is transmitted to the first switch, where it must be stored before it is forwarded. The packet then continues towards the destination.
To simulate message switching, set the packet size equal to the message size. To simulate packet switching, set the packet size to less than the message size. To examine the effect of link propagation delays, check the appropriate boxes for optional propagation delays. For a variety of scenarios, it is highly recommended that you calculate the end-to-end delay analytically and then verify your calculation with the applet.