Dynamic allocation may refer to any of the following:
1. A system-level computer process, also called a heap allocation or dynamic allocation, which allocates and frees segments of memory to be used by programs.
2. With a network or network device, dynamic allocation or a dynamic IP address is the automatic assignment of an IP (Internet protocol) addresses by the network. For example, an IP addresses being assigned by DHCP (Dynamic Host Configuration Protocol).
Setting up a network with DHCP is easier to control and setup then manually assigning every computer and device with a static IP address. However, because the IP address for a user can change this may cause issues if you rely on services that verify a user based on their IP address.