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I want to know whats difference between following programs? Does they both are used to allow multiple clients in a LAN to connect to one single Server in that LAN and to have simulatneous communication.
The difference is in the technique they use to allow multiple clients. The first one uses fork(), so every user has a separate process, second program uses select() call. They have different use.
select() version uses less resources. If one request may take a long time, it's not a good thing - other clients will also be blocked. select() is good when you have a big number or calls, but they're rather short.
The way your first program is used is not good - separate processes eat too much resources. Use threads instead. But still, threads still add overhead - process switching. This version is good if the program can block when processing request data. It won't block other users.