There are three basic ways to allocate IP addresses to clients: static (pre-configured client by client), dynamic (allocated from address pools), algorithmic (calculated from data in the request - often taken from option 82). Static address allocation is the simplest server to implement. It requires that every client is pre-provisioned in the server.
Each client is always given the same address (hopefully) different from one client to another. However this allocation scheme is not very flexible and generates high administrative work to network administrators. It is still used for equipment needing fixed IP addresses such as printers… Dynamic address allocation allows automatic address allocation generally on a first-connected first-served scheme.
Leases are limited in time to allow address reuse if a client is permanently disconnected. This scheme requires persistence on the server side which raises some availability issues. Such servers should also be aware of denial of service ... more.
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