What is a DHCP server?

We take a closer look at how DHCP can make network administration easier

Setting up and configuring networks to cope with all the devices that need to connect to them in a modern business can be quite a task for even veteran IT administrators.

Manually assigning internet protocol addresses to network devices, for example, can be a time-consuming task. But the use of a Dynamic Host Configuration Protocol (DHCP) server helps do away with that arduous work.

Just what is DHCP?
DHCP itself is a network management tool for use with networks working on the Transmission Control Protocol (TCP) and Internet Protocol (IP), which combined form the TCP/IP suite of internet protocols.

Essentially, DHCP is the protocol responsible for the management and automatic configuration of IP addresses within a network. But it also handles the configuration of default gateways, domain name server (DNS) information and the assigning of correct subnet masks for devices on the network.


A DHCP server is fairly self-explanatory, in that it is the server where the DHCP is based and from which it dynamically assigns devices connecting to the network with IP addresses and configures other network information, all without much IT administrator involvement.

In a small business or home environment the DHCP server can simply be the router, while in a larger business it might be a single dedicated computer or server.

How does it work?
Through adopting the client-server model, a DHCP server acts as the host while a device connected to the network is the client.

The DHCP server springs into action when a device connecting to the home or business network makes a request for an IP address, which the DHCP assigns to it out of the currently available addresses, thereby allowing the client device to communicate within the network.

Do I need DHCP?
You are likely already using DHCP by default in you home or business, as the dynamic nature of its IP address allocation reduces the need for IT administrators to need to assign fixed IP addresses to individual devices.


In large businesses with workers connecting their laptops, smartphones, tablets and all manner of other devices capable of connecting to the internet, trying to manage a mass of static IP addresses manually would seem like a mammoth task, especially if the IT team is not flush with staff.

And when a device no longer needs to connect to a network, the static IP address needs to be unassigned. However, DHCP avoids all of this thanks to the dynamic IP address assignment.

There are not a great deal of shortcomings to using DHCP or a dedicated DHCP server. But there are some devices that benefit from a static IP address such as those that are regularly accessed and not likely to leave a network anytime soon, such as scanners, printers and File transfer servers.

Dynamic IP addresses in this case would force each machine connected to say a printer or file server to be forced to update its settings for the connecting to the device every time the target device's IP address changed. This would make the use of DHCP impractical and unnecessary; but static IP addresses can be easily assigned to some devices even when DHCP is being used across a network.


The same theory also applies to servers and computers that need to be accessed remotely; when DCHP updates a dynamic IP address it effectively makes it problematic for software and apps reliant on facilitating remote connection with fixed IP addresses to work correctly.

However, DHCP is too handy not to have, whether you are operating a network for a small or large business.

As such, it is worth taking a considered approach to what device will benefit from static IP addresses and manually configuring them, then using DHCP to take care of the assigning the rest of the IP addresses, leaving you and your IT team free to carry out more interesting and innovative work.