Network Address Translation (NAT) allows private IP addresses on an inside network to be translated to public IP addresses when communicating with outside networks. Private IP addresses defined in RFC 1918 are illegal on the public internet. NAT is commonly used by home and small office routers to allow multiple private devices to share a single public IP address. Common NAT types include dynamic NAT, port address translation (PAT), and static NAT for servers. NAT extends the lifetime of IPv4 addresses but can cause issues for some applications.