Many use the terms Router and Modem interchangeably. However, the two are very different things and complement rather than compete with each other. 

In the early stages of internet connectivity, a modem was all that we needed to connect to the internet. As the demand for internet speed and capacities increased, the need for a new device called a router also emerged. 

In this article, we will take an in-depth look at each device’s functionality, uses, and benefits.

Modem and Routers work together to provide you with a well-balanced and rationed internet speed throughout the household. You can’t have an internet connection without the Modem connecting you to the ISP. 

On the other hand, without a router, the internet signals transmitted by the Modem will be randomly dispersed and unorganized, leading to unequal supply among different users and devices. 

What is A Modem?

A Modem is a device that connects your household to the internet hardware at your internet service provider’s location. It is responsible for receiving internet signals from the ISP and preparing the signal to be dispersed to your devices. 

The signal that your ISP sends cannot be immediately used by the different devices at your home. Modem transforms these signals into digital signals that the devices can easily decode and use as the internet. 

Most cable internets come with the Modem included within the package. They also come with complicated compatibility. For example, one ISP will require you to use a specific type of Modem to effectively receive the signals transmitted by their hardware. 

This specific Modem may become useless when you switch your ISP. This is why most ISPs recommend you to rent a modem from them. 

What is a Router?

A router is the real reason you are able to enjoy the true benefits of modern internet connectivity. While your Modem is for connecting you to the ISP, the Router is for connecting your devices to the Modem. 

In the simplest terms, it routes the internet signals to the various devices connected to your Modem. Without a router, your internet usage will be limited to just a single device. 

The element of wireless connectivity would be gone if there was no router. By breaking up the modem signals and assigning IP addresses to each device, the Router enables the internet to be delivered to a wide range of devices. 

It also connects every device on the network with each other such as the printers and fax machines. Its prominent feature is that it creates a Local area network (LAN) within the household. 

It assigns an IP address to every device that is connected to your home internet and creates a firewall to prevent hacking vulnerabilities. This organizes the flow of internet signals and enables file sharing across different devices on the network. 

Prominent Differences Between a Modem and Router

Modem	Router
Connects the household to the Internet Service Provider	Connects different household devices to the modem
Modulates the signals sent by the ISP	Further breaks down the analog signals into digital signals
Creates a concentrated pathway for internet delivery	Routes the internet signals to devices on basis of needs
Compatibility is affected by different ISP	Compatibility must be matched with the Modem
Comes as part of the internet package.	May be bought separately or combined within the modem.
Doesn’t come with many add-ons or premium features.	Comes in wide variety with unique features.
Prices start at $90.	Prices start at $20.

Difference Between Benefits

The modem provides a very powerful connection to just one device, whereas the router distributes the needed internet bandwidth to different devices. 

Your modem can have the most powerful internet connection and still fail to fulfill every household need. It’s common for different household members to use different amounts of the internet at each instance. 

At one point, two members may be using the internet for 4K movie streaming. This requires a lot of data (up to 5 GB per hour) and therefore demands a high internet supply. On the other hand, other members may only be using the internet for scrolling on social media. In such situations, routers help by distributing the internet bandwidth to the activity’s needs. 

There is no reason to equally distribute internet bandwidth and deliver 25Mbps of data to each household member. 

The router’s firmware evaluates the different needs and may deliver 80 Mbps to the streaming devices and only 20Mbps for social media scrolls. This ensures a fairer internet usage where every member enjoys the internet speed they need. This is why using a router is so important. 

Difference Between Functionality

Modems must be placed on the device that needs a connection. Its location doesn’t affect the quality of speed or connection since it delivers a hardwired connection. 

In comparison, the router must be placed strategically to receive equal and powerful internet signals throughout the house. Placing it in the center of your house ensures sufficient to supply both left and right.

Difference Between Pricing

While most modems can be cheaply rented by your ISP, an upfront purchase can save you long-term costs. 

Standard modems with basic features can be purchased for $40-50, while higher quality ones cost around $90-120. Compatibility with different ISPs remains an issue when buying a modem. 

Rental may seem more appropriate if you are unsure about the future ISP you will use. Most ISPs charge around $10 per month for the modem, but fees may also vary with the overall internet plan. 

Routers come in a wider variety and therefore at more price points. When choosing a router, you may come across dual-band, tri-band, simultaneous, mesh, wire, core, and edge routers. 

All come with varying benefits and pricing, resulting in higher accessibility. A simple Wire Router can be bought for $20-30. Higher functionality comes with higher costs; mesh routers start at around $100, with premium ones priced at $300-400. 

Conclusion

Modems and Routers are two very different things and come with their own functionality. The uses are not mutually exclusive but must work together to deliver a high-quality internet experience.