Ideally, you want the device that is closest to the Internet connection to provide the PPPoE service. It's a protocol for DSL devices to establish a connection to the Internet.
We talked about PPPoE in your previous thread. and these would be provided to clients connected to it. Also, like in Scenario 2, you can assign DNS IP addresses on the TC. That is, the Actiontec will continue to provide the IP addresses just like in Scenario 2 "through" the TC so that wired or wireless clients connected to the TC get the addresses. Since you have the TC configured as a bridge, it is basically a "pass-through" device. Scenario 3: Modem > Upstream Router (Actiontec) > Downstream Router (TC) > Computer In this case, the Actiontec, uses its DHCP server to provide those addresses to your computer. like those for Google DNS or OpenDNS if you do NOT want to use the ISP's DNS servers. You do have an option with this router to enter a different set of DNS IP addresses. As a DHCP server, it provides your computer with the required IP addresses and passes on the ISP's DNS IP addresses as well. In this scenario, your Actiontec router provides your account credential (via PPPoE) to the ISP and also acts as a DHCP server. Scenario 2: Modem > Router (Actiontec) > Computer Since your DSL ISP requires that you are authorized to access their Internet service, they utilize PPPoE to pass your account credentials (username & password) from your computer to their authorization server. DHCP also provides the other important IP address information: IPv4 address, subnet mask, & router IP to your computer in order to communicate on the Internet. In this scenario, your ISP provides the DNS server IP address information to your computer via DHCP. Let's look at a few examples, hopefully to help understand where all these protocols/services (PPPoE, DNS, & DHCP) come into play:
I guess what I'm confused at is what device is doing what. So you are telling me that I could delete the DNS from each machine and set it in either the new modem or Time Capsule router.
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