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I posted about this in the past, but I can’t find the post (how embarrasing).  No need… Heather explains it very well:

When designing a portal, keep the major areas in mind in relation to your URLs.  SharePoint allows 20 areas (one being the Home) to be formatted nicely in the URL.  For example, http://ThePortal.com/HR or http://ThePortal.com/Training.  Once you hit the end of your 20 allotted areas, the URL will start organizing the areas into buckets.

» Naming Areas on a Portal

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