Released in 1981, RFC 790 and RFC 791 describe how IPv4 network addresses were initially allocated based on a classification system. In the original specification of IPv4, the authors established the classes to provide three different sizes of networks for large, medium, and small organizations. As a result, class A, B, and C addresses were defined with a specific format for the high order bits. High order bits are the far left bits in a 32-bit address.

As shown in the figure:

The remaining addresses were reserved for multicasting and future uses.

Links:

"Internet Protocol," http://www.ietf.org/rfc/rfc791.txt

"Internet Multicast Addresses," http://www.iana.org/assignments/multicast-addresses