Cisco PPPoE Server Configuration Example

For non-static clients’ IPs we can use local pools or dhcp:

! ------ R2 Client
!
interface Dialer0
 ip address dhcp
! or
!ip address negotiated

! ------ R1 Server
!
ip dhcp excluded-address 144.10.1.1 144.10.1.4
ip dhcp pool PPPoE 
   network 144.10.1.0 255.255.255.0
! or
! ip local pool PPPoE 144.10.1.5 144.10.1.9
!
interface Virtual-Template1
 peer ip address forced 
 peer default ip address dhcp-pool PPPoE
! or
!peer ip address forced
!peer default ip address pool PPPoE

The local pools differ from the DHCP in assigning /32 to the clients.
The OSPF RFC says that OSPF ignores subnet mask on point-to-point links, however we won’t be able to have adjacency between /24 and /32, since the client finds itself in an isolated network.

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