Networking allows computers and devices to connect and communicate with each other by sharing resources like hardware, software, data and information. The history of networking began in the 1870s with the telephone and continued with developments like Ethernet, TCP/IP, the internet, and social networks. IP addresses are unique identifiers for devices on a network and are organized into classes. The advantages of networking include resource sharing, high reliability, easy communication, speed, providing a communication medium, and enabling hardware sharing.