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What is the Internet Gateway connection?

I have a LinkSys 4-port wireless router connected to a cable modem. I recently installed WinXP on two laptops that connect to the router--one wireless and one wired. Besides the wireless/LAN connections, I now have an additional connection on each laptop called Internet Connection (Internet Gateway). I didn't install this connection. How does it get created? And disabling it on one laptop disables it on the other as well. What is this thing? Logically it appears to be the cable modem. Is WinXP really talking to the cable modem (through the router)?
The Internet Gateway connection is created when you enable Internet Connection Sharing (ICS) on an XP machine. You can use this to remotely monitor and control the machine that's hosting the ICS connection.

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