Dynamic Host Configuration Protocol
(DHCP) A protocol that provides a means to dynamically allocate IP addresses to computers on a local area network. The system administrator assigns a range of IP addresses to DHCP and each client computer on the LAN has its TCP/IP software configured to request an IP address from the DHCP server. The request and grant process uses a lease concept with a controllable time period.
Microsoft introduced DHCP on their NT server with version 3.5 in late 1994.