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.
Differentiated services
The Class Selector code points are of the binary form 'xxx000'. The first three bits are the IP precedence bits. Each IP precedence value can be mapped into a DiffServ class. CS0 equals to IP precedence 0, CS1 to IP precedence 1, and so on. If a packet is received from a non-DiffServ aware router that used IP precedence markings, the DiffServ router can still understand the encoding as a Class Selector code point.