Network Address Translation, or NAT, functions first by transforming the private IP address of the packets originating from hosts on the user’s network, so that they appear to be coming from a single public IP address, and second by restoring the destination public IP address to the appropriate private IP address for packets entering the private network. The group of PCs on the user’s network would then appear as a single client to the WAN interface. This is used in Router mode.
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