Good thing, cause it's wrong. It's all layer 4.
To establish a connection, TCP uses a three-way handshake. Before a client attempts to connect with a server, the server must first bind to and listen at a port to open it up for connections: this is called a passive open. Once the passive open is established, a client may initiate an active open. To establish a connection, the three-way (or 3-step) handshake occurs:
At this point, both the client and server have received an acknowledgment of the connection. The steps 1, 2 establish the connection parameter (sequence number) for one direction and it is acknowledged. The steps 2, 3 establish the connection parameter (sequence number) for the other direction and it is acknowledged. With these, a full-duplex communication is established.
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