The main advantage of hierarchical addresses is that it is possible to significantly reduce the size of the forwarding tables. In many networks, the number of routers can be several orders of magnitude smaller than the number of hosts. A campus network may contain a dozen routers and thousands of hosts. The largest Internet Services Providers typically contain no more than a few tens of thousands of routers but still serve tens or hundreds of millions of hosts.
The main advantage of hierarchical addresses is that it is possible to significantly reduce the size of the forwarding tables. In many networks, the number of routers can be several orders of magnitude smaller than the number of hosts. A campus network may contain a dozen routers and thousands of hosts. The largest Internet Services Providers typically contain no more than a few tens of thousands of routers but still serve tens or hundreds of millions of hosts.