Whereas in a home setup or a small office setup (SOHO), DHCP server is managed internally by your Router. In a work place, the DHCP server is usually on a separate computer called a server. That identity is called an IP address, which will be usually something starting like .X. When you are on a network, using the internet or accessing any other network resource, and if you are not given an identity manually, a Dynamic Host Configuration Protocol (DHCP) server is responsible for giving you a unique identity on that network automatically when you connect to the network. In other words, you can say your system is simply cut off from the network. Having this IP address is almost as good as having no IP address. If your system suddenly has an IP address starting with 169.254 then it is certain that you will have no connection to the internet and neither to any network resource you previously had.
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