- IP addresses were first used in 1974. First defined as a 32-bit number, the system was developed to share information across computer networks. As the Internet began to grow, however, an updated 128-bit IP address was developed. Originally, each computer was intended to have its own unique computer. However, it was soon discovered that this was not possible, due to the amount of people using the Internet. To conserve network space, private IP addresses were developed, allowing multiple computers to share a single Internet connection.
- IP addresses use a very specific format, consisting of four sections of numbers that are separated by dots or decimals (example: 123.45.6789). Each of these sections routes data between networks to a designated computer. Internet service providers typically assign their customers a specific IP address that can be easily looked up as needed. Private IP addresses, on the other hand, work by routing information to a public IP address that then securely transfers information to the user's computer.
- Typically, private IP addresses are used in home and office local area networks (LANs). Because these types of users do not need separate IP addresses for each computer in their network, a private IP address can help balance server space and provide enhanced security by preventing computers outside of the network from accessing its space. In addition, private IP addresses help conserve public addressing space to ensure that unique public IP addresses are available in the future.
- A private IP address works by connecting to the Network Address Translation (NAT) service, a tool created to prevent a shortage of IP addresses. NAT works as a router, connecting computers outside the network to the computer's private IP address. The service then hides the private IP number, so it appears that all of the information is sent to the same IP address--even if there are multiple users on the network.
- In addition to preventing outside users from accessing private information, a private IP address also allows an unlimited number of devices to securely connect to the Internet. Because they do not have to obtain new IP addresses, private IP addresses help Internet service providers and organizations save money. Plus, a computer using a private IP address is invisible to many common network attacks, making it a secure and cost-effective choice for most businesses and residential customers.
