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Dynamic-link library
The same architectural concept that allowed GDI to load different device drivers is that which allowed the Windows shell to load different Windows programs, and for these programs to invoke API calls from the shared USER and GDI libraries. That concept was "dynamic linking".
In a conventional non-shared "static" library, sections of code are simply added to the calling program when its executable is built at the "linking" phase; if two programs call the same routine, the routine is included in both the programs during the linking stage of the two. With dynamic linking, shared code is placed into a single, separate file. The programs that call this file are connected to it at run time, with the operating system (or, in the case of early versions of Windows, the OS-extension), performing the binding.
This notion of building up the operating system from a collection of dynamically loaded libraries is a core concept of Windows that persists as of 2015. DLLs provide the standard benefits of shared libraries, such as modularity. Modularity allows changes to be made to code and data in a single self-contained DLL shared by several applications without any change to the applications themselves.
In Windows 1.x, 2.x and 3.x, all Windows applications shared the same address space as well as the same memory. A DLL was only loaded once into this address space; from then on, all programs using the library accessed it. The library's data was shared across all the programs. This could be used as an indirect form of inter-process communication, or it could accidentally corrupt the different programs. With the introduction of 32-bit libraries in Windows 95 every process ran in its own address space. While the DLL code may be shared, the data is private except where shared data is explicitly requested by the library. That said, large swathes of Windows 95, Windows 98 and Windows Me were built from 16-bit libraries, which limited the performance of the Pentium Pro microprocessor when launched, and ultimately limited the stability and scalability of the DOS-based versions of Windows.
DLLs provide a mechanism for shared code and data, allowing a developer of shared code/data to upgrade functionality without requiring applications to be re-linked or re-compiled. From the application development point of view Windows and OS/2 can be thought of as a collection of DLLs that are upgraded, allowing applications for one version of the OS to work in a later one, provided that the OS vendor has ensured that the interfaces and functionality are compatible.
In contrast to code sections, the data sections of a DLL are usually private; that is, each process using the DLL has its own copy of all the DLL's data. Optionally, data sections can be made shared, allowing inter-process communication via this shared memory area. However, because user restrictions do not apply to the use of shared DLL memory, this creates a security hole; namely, one process can corrupt the shared data, which will likely cause all other sharing processes to behave undesirably. For example, a process running under a guest account can in this way corrupt another process running under a privileged account. This is an important reason to avoid the use of shared sections in DLLs.
Linking to dynamic libraries is usually handled by linking to an import library when building or linking to create an executable file. The created executable then contains an import address table (IAT) by which all DLL function calls are referenced (each referenced DLL function contains its own entry in the IAT). At run-time, the IAT is filled with appropriate addresses that point directly to a function in the separately loaded DLL.
It is also possible to bind an executable to a specific version of a DLL, that is, to resolve the addresses of imported functions at compile-time. For bound imports, the linker saves the timestamp and checksum of the DLL to which the import is bound. At run-time Windows checks to see if the same version of library is being used, and if so, Windows bypasses processing the imports. Otherwise, if the library is different from the one which was bound to, Windows processes the imports in a normal way.
Due to a vulnerability commonly known as DLL hijacking, DLL spoofing, DLL preloading or binary planting, many programs will load and execute a malicious DLL contained in the same folder as a data file opened by these programs. The vulnerability was discovered by Georgi Guninski in 2000. In August 2010 it gained worldwide publicity after ACROS security rediscovered it again and many hundreds of programs were found vulnerable. Programs that are run from unsafe locations, i.e. user-writable folders like the Downloads or the Temp directory, are almost always susceptible to this vulnerability.