Supergravity, the DBI action and black hole physics

The assumptions behind the recently conjectured relation between gauge theory and supergravity are elaborated on. It is pointed out that the scaling limit that preserves supergravity solutions, gives the entire DBI action on the gauge theory side, but in the low energy limit the relation between the conformal field theory and Anti-de Sitter supergravity emerges. We also argue that recent work on these issues may help in understanding the physics of five (four) dimensional black hole with three (four) charges in the so-called dilute gas region.