Azure Container Networking Interface (CNI) support for dynamic IP allocation and defining a different subnet for agent nodes and pods in Azure Kubernetes Service (AKS) is now generally available.
This enables IPs to be allocated dynamically when a pod needs it, instead of pre-allocating a subset of IPs to each agent node. This also reduces IP usage as compared to a static allocation.
Dynamic IP allocation allows you to setup clusters that consume fewer IPs. You can segment incoming traffic from pods and nodes separately and add new subnets to increase the pod CIDR.
Learn more.