Final answer:
EUI-64 does not specify how the network portion of the IPv6 address is generated; it is used to help create the interface identifier or host portion of an IPv6 address using a MAC address. The statement is therefore FALSE.
Step-by-step explanation:
The statement "EUI-64 specifies how the network portion of the IPv6 address is auto generated" is FALSE. EUI-64 is actually a method used to create the interface identifier (the host portion) of an IPv6 address using a 48-bit MAC address. This method involves inserting a 16-bit hexadecimal value (FFFE) in the middle of the MAC address to extend it to 64 bits, as well as inverting the 7th bit of the original MAC address (the universal/local bit).
Essentially, EUI-64 automates part of the process for generating a unique IPv6 address on the network, but it does not determine the network portion of the address. The network portion is typically assigned by the network administrator or is provided as part of an Internet service provider's (ISP's) subnet allocation.