Classless Inter-Domain Routing
An IP address is interpreted as composed of two parts: a network-identifying prefix followed by a host identifier within that network. In the previous classful network architecture, IP address allocations were based on the bit boundaries of the four octets of an IP address. An address was considered to be the combination of an 8, 16, or 24-bit network prefix along with a 24, 16, or 8-bit host identifier respectively. Thus, the smallest allocation and routing block contained only 256 addresses—too small for most enterprises, and the next larger block contained addresses—too large to be used efficiently even by large organizations. This led to inefficiencies in address use as well as inefficiencies in routing, because it required a large number of allocated class-C networks with individual route announcements, being geographically dispersed with little opportunity for route aggregation.
IP multicast
IPv4 multicast packets are delivered using the Ethernet MAC address range 01:00:5e:00:00:00–01:00:5e:7f:ff:ff (with an OUI owned by the IANA). This range has 23 bits of available address space. The first octet (01) includes the broadcast/multicast bit. The lower 23 bits of the 28-bit multicast IP address are mapped into the 23 bits of available Ethernet address space. This means that there is ambiguity in delivering packets. If two hosts on the same subnet each subscribe to a different multicast group whose address differs only in the first 5 bits, Ethernet packets for both multicast groups will be delivered to both hosts, requiring the network software in the hosts to discard the unrequired packets.