- Private IP addresses are frequently used in a variety of settings. This includes residential settings, since most ISPs allocate only one IP address per customer. Private residential networks require a network address translator (NAT) to connect to the Internet, as using a NAT supports multiple devices.
- The advantages to using a private IP address in a residential setting are the support of multiple devices by NATs and the increased security of information on individual computers. On the other hand, a major disadvantage in residential private IP networks is the NATs decreased speed under high data exchange demands.
- Private IP addresses are also used in corporate settings, as many organizations face a variety of security risks. Corporate networks are often set up so each computer is not directly connected to the Internet but instead use a SOCKS gateway or proxy connected through an internal network. Though this network is more complicated than those used in homes, once a computer is configured to access the Internet through the private, internal network, all Internet access can be performed normally.
- Several advantages of corporate networks exist, including heightened security options and the ability to control employee internet access. This type of set up is considerably more complex than those used in residential systems, and the network requires constant maintenance and upkeep. This often requires a dedicated, in-house IT position, which can increase salary costs.
Residential Systems
Advantages
Corporate Systems
Advantages
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