According to the VMware NSX Documentation1, NSX-T Data Center supports the following types of DHCP configuration on a segment: * Local DHCP server: This option creates a local DHCP server that has an IP address on the segment and provides dynamic IP assignment service only to the VMs that are attached to the segment. * Gateway DHCP server: This option is attached to a tier-0 or tier-1 gateway and provides DHCP service to the networks (overlay segments) that are directly connected to the gateway and configured to use a gateway DHCP server. * DHCP Relay: This option relays the DHCP client requests to the external DHCP servers that can be in any subnet, outside the SDDC, or in the physical network. https://docs.vmware.com/en/VMware-NSX/4.0/administration/GUID-486C1281-C6CF-47EC-B2A2-0ECFCC4A