I think it is important to point out that routers do not assign IP addresses: routeurs receive an IP packet on an interface and send it almost unchanged on another interface (the changes I can think of is decreasing the TTL and updating the checksum of the IP packet; even changing the IP address in the packet (NAT) is beyond the task of a router).
The devices that are called home routers are much more than routers, they also include some of the following functionalitys/services:
- DHCP Server (this is the service that assigns IP addresses),
- ADSL Modem (to negotiate a connection to the ISP),
- Firewall (to filter incoming and outgoing connections),
- Inbound and outbound NAT device (to share the single IPv4 address allocated by the ISP for all the devices on the home network),
- Router,
- Switch,
- WiFi Antenna,
- Web Server,
- Console (web, ssh or telnet) to configure the device,
- Others...
(Note: firewalls can usually do Inbound and outbound NAT and routing, even though those 4 functions can be done using dedicated devices.)
In large Enterprise deployment, the DHCP Server is often hosted on dedicated Linux or Windows servers (usually a cluster) that does not have anything to do with routers.
An ip on a network or your own personal pc? – Christopher Chipps – 2013-03-31T00:36:49.430
if you got the time and care to learn it in deep, peek in: http://www.zytrax.com/books/dhcp/apc/
– Lorenzo Von Matterhorn – 2013-03-31T00:39:19.997