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While it does allow you to have more IPs and thus more clients into the network. You are now expanding the size of your broadcast domain, so depending on the applications you run in your network it may or may not be ok to do so. I read somewhere that 20% broadcast rate is as high as it should go so if you look at your broadcast rate and its nearing this number then getting another interface in your router and VLANing your switch might be a better way to go and you dont even have to get another DHCP server just use IP Helper address (or equivalent) and create another scope on your server.