In some situations, it is not ideal to let hosts obtain an IP address dynamically. For example, web servers need to be referable by a friendly hostname (e.g., www.xiitec.com), which is associated with an IP address. If that IP address changes, the DNS record for the hostname also needs to change. The propagation delay while the record is updated could result in some clients getting errors when trying to access the web site. The solution for this, and any other server with DNS dependency, is to create a reservation.

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