Skip to main content

Role of IP Addresses in System Design and Architecture

Role of IP Addresses in System Design and Architecture

When people start learning system design, IP addresses often feel confusing or too technical.
But in reality, IP addresses are one of the simplest and most important ideas behind how systems work.

If you understand IP addresses properly, many things suddenly become clear:

  • How websites work

  • Why databases are not exposed to the internet

  • How systems scale safely

Let’s break this down slowly and simply.


What Is an IP Address?

An IP address is a number that identifies a device on a network.

Every device connected to a network needs one:

  • Mobile phone

  • Laptop

  • Server

  • Database

Think of an IP address like a home address.

  • If someone wants to send you a letter, they need your home address

  • If one computer wants to send data to another, it needs the IP address

Example:

192.168.1.10

This number tells the network:

“Send data to this exact device.”

Without IP addresses, computers would not know where to send data.


Why Are IP Addresses Important?

IP addresses make three things possible:

  1. Identification – knowing which device is which

  2. Communication – sending and receiving data

  3. Routing – finding the correct path through the network

Every time you:

  • Open a website

  • Watch a YouTube video

  • Call an API

IP addresses are working silently in the background.


IPv4 and IPv6: Why Do We Have Two Types?

IPv4 (The Old One)

IPv4 is the older and most common type of IP address.

It looks like this:

192.168.0.1

IPv4 has a limited number of addresses—about 4 billion.

Years ago, this felt like more than enough.
But today:

  • Billions of phones

  • Cloud servers

  • Smart TVs

  • IoT devices

We ran out of IPv4 addresses.


IPv6 (The New One)

IPv6 was created to solve this problem.

It looks longer:

2001:db8::1

IPv6 has an almost unlimited number of addresses.

IPv4

IPv6

Short

Long

Limited; Uses 32 bits

Almost unlimited; Uses 128 bits

Older

Newer

Important note:
As a developer, you usually don’t need to manage IPv6 manually, but you should know why it exists.


How Does IPv6 Have “Almost Unlimited” Addresses?

At first glance, IPv6 addresses look confusing and unnecessarily long.
But the reason behind this length is very simple.

The secret lies in how many bits are used to create the address.


IPv4 vs IPv6: The Core Difference (Bits)

IPv4 Uses 32 Bits

IPv4 addresses are made using 32 bits (binary digits).

That means:

2 × 2 × 2 × ... (32 times) = 2³²

Which equals:

  • 4,294,967,296 addresses

  • Roughly 4.3 billion

This sounded huge in the 1980s.
Today, it is not enough.


IPv6 Uses 128 Bits

IPv6 addresses are made using 128 bits.

That means:

2¹²⁸ addresses

Which equals approximately:

  • 340 undecillion addresses

  • Written as:
    340,000,000,000,000,000,000,000,000,000,000,000

This number is so large that it is hard to imagine.


A Simple Analogy (Very Important)

IPv4 Is Like Phone Numbers

  • Limited digits

  • We eventually ran out

  • Needed sharing and workarounds (like NAT)


IPv6 Is Like Giving Every Grain of Sand an Address

A popular analogy:

With IPv6, we can assign billions of IP addresses to every human on Earth
and still not run out.

In fact:

  • Every phone

  • Every laptop

  • Every server

  • Every IoT device

  • Every virtual machine

Can have its own unique public IP.


Why IPv6 Doesn’t “Feel” Unlimited, But Practically Is

Technically:

  • IPv6 is finite

  • But practically:

    • We will never exhaust it

    • Even with future technologies

To put it in perspective:

  • IPv4 shortage happened within decades

  • IPv6 will last for thousands of years, even with massive growth


Why Does IPv6 Need So Many Addresses?

Because modern systems are very different:

  • Cloud servers scale up and down

  • Containers come and go

  • IoT devices are everywhere

  • Smart homes, cars, watches, sensors

IPv6 was designed for:

  • Massive scale

  • Future-proof growth

  • Simpler networking (less need for NAT)


Then Why Do We Still Use Private IPs?

Important clarification:

Even though IPv6 has plenty of addresses:

  • Private networks are still useful

  • Security and isolation still matter

  • Internal systems should not be exposed directly

So IPv6 solves the shortage problem,
but does not replace good system design principles.


One-Line Summary

IPv6 has almost unlimited addresses because it uses 128 bits instead of 32 bits, increasing the address count from billions to numbers so large they are practically impossible to exhaust.


Public IP vs Private IP (The Most Important Concept)

This is the key idea in system design.


What Is a Public IP?

public IP address is visible on the internet.

If a system has a public IP:

  • Anyone on the internet can reach it

  • It must be secured carefully

Examples:

  • Websites

  • Public APIs

  • Load balancers

Think of a public IP as a main gate of a building.


What Is a Private IP?

private IP address works only inside a private network.

Examples:

192.168.x.x
10.x.x.x

Private IPs:

  • Are not visible on the internet

  • Are used inside homes, offices, and cloud networks

Think of private IPs as room numbers inside a building.


Why Do We Need Private IPs?

1. Safety and Security

Private IPs keep important systems hidden.

Databases, internal services, and backend systems:

  • Should NOT be reachable from the internet

  • Should only talk to trusted systems

Private IPs make this possible.


2. Saves Internet IP Addresses

Instead of giving every server a public IP:

  • Many servers use private IPs

  • One public IP acts as a gateway

This helped the internet survive IPv4 shortages.


3. Better System Design

Good systems:

  • Expose only what is necessary

  • Keep everything else private

Private IPs encourage clean and safe architecture.


How IP Addresses Fit Into System Design

Let’s look at a very common real-world design.


Simple Web Application Architecture

User
 ↓
Public IP (Load Balancer)
 ↓
Private IP (Backend Servers)
 ↓
Private IP (Database)

Only the load balancer has a public IP.

Everything behind it:

  • Uses private IPs

  • Is hidden from the internet

This is how almost all modern systems work.


Load Balancing Made Simple

A load balancer:

  • Has one public IP

  • Sends traffic to many backend servers

Why this is powerful:

  • Servers can be added or removed anytime

  • Users always talk to the same IP

  • System scales easily

Users never know how many servers exist behind the scenes.


What About Microservices?

Modern systems have many small services:

  • Auth service

  • Payment service

  • Notification service

These services:

  • Use private IPs

  • Talk to each other internally

  • Usually use names instead of IP numbers

This allows:

  • Easy scaling

  • Easy replacement

  • Fewer failures


IP Addresses Can Change (And That’s Normal)

In cloud systems:

  • Servers are created and destroyed

  • IPs change frequently

Good systems:

  • Do not depend on fixed IPs

  • Use load balancers or names

  • Keep working even when IPs change

Bad systems:

  • Break when an IP changes


Common Interview Questions (Simple Answers)

Why not give every server a public IP?

Because it is:

  • Unsafe

  • Expensive

  • Unnecessary


How do private servers access the internet?

They use something called NAT, which acts like a shared exit door to the internet.


What happens if a server’s IP changes?

  • Good design → nothing happens

  • Bad design → system crashes


Does IPv6 remove the need for private networks?

No.

Private networks are used for:

  • Security

  • Control

  • Clean architecture

Not just for IP shortages.


Final Takeaway (Remember This)

You don’t need to memorize IP formats.

Just remember this simple rule:

Public IPs are for entry points.
Private IPs are for internal systems.

If you follow this rule, your system will be:

  • Safer

  • Easier to scale

  • Easier to maintain

  • Easier to explain in interviews



Comments

Popular posts from this blog

Java Backend Developer Roadmap 2026 (Complete Step-by-Step Guide)

Java Backend Developer Roadmap 2026 (Step-by-Step Guide) Becoming a Java Backend Developer in 2025 is an excellent career choice. Java continues to dominate enterprise applications, microservices, cloud-native systems, and large-scale backend engineering. But the real challenge is knowing what to learn and in what order . This roadmap simplifies everything. Follow it step-by-step and you will gain the exact skills companies expect from a backend engineer — beginner to advanced, in the right sequence. Why Java Backend Is Still a Great Choice in 2026 Java remains the most widely adopted enterprise backend language. Modern Java (17/21/23) includes features like records, sealed classes, pattern matching, and virtual threads, making it more productive than ever. Spring Boot continues to lead backend development, powering microservices in companies of all sizes. Java has unmatched job availability across startups, MNCs, fintech, e-commerce, cloud companies, and global product...

How to Prepare for Java Interviews in 2026 — Complete Roadmap for Developers

How to Prepare for Java Interviews in 2026 — Complete Roadmap for Developers Table of Contents Introduction Understand the 2025 Hiring Trend Core Java Fundamentals Collections & Data Structures Multithreading & Concurrency Java 8–21 Features Spring Boot Essentials Microservices Interview Prep SQL & Database Concepts REST APIs System Design Coding Round (DSA) Sample Daily Preparation Routine Final Tips 1. Introduction Java interviews are evolving rapidly. Companies in 2025 expect backend developers who not only understand Core Java but also have strong skills in Spring Boot, microservices, SQL, concurrency , and system design . The good news? With a structured roadmap, Java interview preparation becomes predictable and achievable. In this guide, I’ll walk you through the exact topics you should master — with the same clarity I use in my YouTube tutorials and Udemy courses . If you are following this guide seriously, make sure ...

Python Development Crash Guide 2026 — Part 2: Core Python: Syntax, Control Flow, Functions & Data Structures

 🐍 Python Development Crash Guide 2026 — Part 2:Core Python: Syntax, Control Flow, Functions & Data Structures This part transforms you from “I know Python basics” to “I can actually write Python code confidently.” If Part-1 was about understanding Python , Part-2 is about thinking in Python . This post focuses on: Writing correct, readable Python code Understanding how Python makes decisions Organizing logic using functions Mastering Python’s core data structures (deeply, not superficially) These concepts are mandatory for: Backend development Automation Data science Interviews Clean, maintainable code 📌 What This Part Covers In this post, you will learn: Python control flow and decision making Boolean logic and truthy / falsy values Loops and iteration (deep understanding) Functions and parameter handling Python’s execution flow and call stack (intro) Core data structures (lists, tuples, sets, dictionaries) Mutability, performance implications, and common mistakes Chapter...