Routing simplification

To simplify routing issues, IPv6 addresses are considered in two parts: a prefix and an ID. This might seem the same as the IPv4 net-host address breakdown, but it has two advantages.

Item Description
no class No fixed number of bits for prefix or ID, which allows for a reduction in loss due to over-allocation
nesting An arbitrary number of divisions can be employed by considering different numbers of bits as the prefix.

Case 1

128 bits
node address

Case 2

Item Description
n bits 128-n bits
Subnet prefix Interface ID

Case 3:

Item Description
n bits 80-n bits 48 bits
Subscriber prefix Subnet ID Interface ID

Case 4:

Item Description
s bits n bits m bits 128-s-n-m bits
Subscribe prefix Area ID Subnet ID Interface ID

Generally, IPv4 cannot go beyond Case 3, even with Variable Length Subnet Mask (VLSM is a means of allocating IP addressing resources to subnets according to their individual need rather than some general network-wide rule). This is as much an artifact of the shorter address length as the definition of variable length prefixes, but is worth noting nonetheless.