We do load balancing here with two groups of machines.
Users say telnet unix.
Due to the default domain this is unix.andrew.cmu.edu. This is a cname for unix.lb.andrew.cmu.edu. This is subdomain with an SOA record and two servers. The servers run a fake domain name server that I made up. When asked for 'unix' it sorts its list that it keeps uptodate and returns the ip address of the 'best' one.