This depends on the sensor. Some sensors don't do any (or at least not much) "upstream" amplification and rely entirely on "downstream" amplification. Downstream amplification results in a loss of DR (1 stop of DR is lost for every 1 stop of ISO boost).
If the sensor does "upstream" amplification, then that happens before the analog to digital conversion (ADC) and you can get some ISO gain without much of a loss in DR.
This has me a little concerned. DR is a function of exposure period. The engineering implementation in the camera that processes the sensor signal can employ a boost to the analog signal prior to ADC, digital scaling in the ADC and/or a hybrid combination of both. Regardless of implementation the method used to process the signal will do a better or worse job of retaining the sensor data but not create data. Exposure creates data.
The light sensitivity of the sensor is in no way altered by the methodology engineered into the system to process the sensor output. A full sensor exposure = maximum DR. Any reduction in exposure = reduction in DR.
Joe
Pass the popcorn.
Joe, part of this is correct... in that the "light sensitivity of the sensor" isn't altered. However... the dynamic range of the image saved to your memory card can be altered by boosting ISO. But this happens as a result of what happens to the data after it leaves the sensor. You certainly can lose DR by increasing ISO (there's lots of data to back this up.)
This is because you're dealing with "digital" data and you cannot record any values that overflow the bit-depth of the system. If we increase ISO by 1 stop then with "downstream" amplification it means we multiply all values by 2.
A 14-bit register can hold values from 0 to 16,383 (16384 possible values - that's 2^14th). So if we had a pixel with a value of, say, 10,000 (which is in the range that the camera can handle) and we double it.. it's now 20,000 and that's beyond what our 14-bit system can store. Data is clipped and we lose dynamic range. We can also try to "scale" the image (squeeze the histogram proportionally) to avoid clipping... (so really you're boosting shadows but not boosting highlights) but again... that means we're reducing the dynamic range. Either way, you lose dynamic range (but you can create an illusion of dynamic range because the data isn't clipping). (I suppose Nikon D-Lighting or Canon Highlight Tone Priority modes might be examples of this.)
If you're doubling the data, then you have a math limitation based on the bit-depth of the system.
If you boost exposure on your computer... instead of your camera... the computer has significantly higher bit-depth. I suppose one might say this is a bit of a cheat because you wouldn't boost ISO in the camera... you'd do in the computer (so the camera is shooting at low ISO where it still retains it's maximum dynamic range.)
I'm wondering what you mean by "DR is a function of exposure period." Can you elaborate on what you mean by that?
BTW, you can see plots of the data at dslr-astrophotography.com. Here for example, are plots for Nikon cameras.
Best ISO values for Nikon cameras
Take a look, for example, at the plot of the D3100 vs. the D3200.
On the D3100, you can see the DR remains reasonably stead as ISO increases from 100 to 200 and then 400. But when the ISO goes to 800 there's a slight (but not quite linear) loss in DR. When it increases to 1600 there's a steeper, but still not quite linear loss in DR. But from 1600 on there's literally a linear loss in DR for every stop of ISO.
Meanwhile on the D3200 there is immediately a linear loss in DR for every stop of ISO.
You can see that the D3200 has just over 12 stops of DR at ISO 100. The D3100 has just over 10 stops of DR at ISO 100.
But since the D3100 can make it to just about ISO 1600 before it starts the linear loss of DR, you can shoot a D3100 at ISO 1600 and get nearly 10 stops (I think they report that it's 9.6) of DR. If you tried to shoot a D3200 at that ISO, you'd get just a little over 8 stops of DR (it's hard to see based on the graph... maybe 8.5) So a D3100 outperforms the DR of a D3200
at ISO 1600 by a little more than a stop (maybe 1.5 stops) even though the D3200 outperforms the D3100
at ISO 100.
BTW, the bend in the graph of the D3100's ISO vs. DR plot represents the difference between "upstream" and "downstream" boost. When the graph is staying reasonably flat (at the left side) that's "upstream" boost. When the graph starts to bend downward (and ultimately goes linear) thats "downstream" boost. The manufacturers don't publish enough specs to tell us if and how much "upstream" vs. "downstream" they do, but you can reverse-engineer your way into it and figure out where it's happening for any particular camera model.