Dnsmasq is a lightweight, easy to configure DNS forwarder and DHCP server. It
is designed to provide DNS and, optionally, DHCP, to a small network. It can
serve the names of local machines which are not in the global DNS. The DHCP
server integrates with the DNS server and allows machines with DHCP-allocated
addresses to appear in the DNS with names configured either in each host or in
a central configuration file. Dnsmasq supports static and dynamic DHCP leases
and BOOTP/TFTP/PXE for network booting of diskless machines.

Dnsmasq is targeted at home networks using NAT and connected to the internet
via a modem, cable-modem or ADSL connection but would be a good choice for any
smallish network (up to 1000 clients is known to work) where low resource use
and ease of configuration are important. 			-- Simon Kelley