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The more common DSL router is a standalone device that combines the function of a DSL modem and a router, and can connect multiple computers through multiple Ethernet ports or an integral wireless access point.
The modem provides you with the internet connection. A router (wireless or not) preforms the task of packet routing; determining which computer on a network is to receive which traffic. You can connect to the internet without a router, you cannot connect to the internet without some form of modem. However, some internet service providers are now combining modems and wireless routers into a single device. These devices if opened however are still one part modem one part router.