An environment with a large number of new devices can experience address exhaustion if the server from which they automatically obtain network settings is not configured to manage enough IP addresses.
Dynamic Host Configuration Protocol (DHCP) servers allocate addresses from a defined scope. If the pool is too small, incoming requests exceed what is available, leading to assignment failures. Increasing the scope or adjusting lease timers can prevent exhaustion. Believing address pool size does not affect assignment overlooks how automatic allocation works and can cause extensive connectivity problems when new devices cannot receive addresses.
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