PPPoE

from The Free On-line Dictionary of Computing (8 July 2008)

Point-to-Point Protocol over Ethernet
PPPoE

   <communications, protocol> (PPPoE) The {protocol} defined in
   {RFC 2516} that allows one or more computers to connect to the
   {Internet} via a shared {modem}.  The computers connect to the
   modem via a {local area network} such as {Ethernet} and the
   modem connects to an {Internet Service Provider} (ISP) via a
   {serial} connection such as {PPP} over {ADSL}.

   PPPoE provides each user with a connection that looks and
   behaves like a point-to-point {dial-up} connection even though
   they are actually sharing an Ethernet or {wireless} network.
   At the same time, the ISP only needs to provide a single
   Internet connection, with the same kind of accounting as for
   {PPP}.  Also, the {IP address} is only assigned when the PPPoE
   connection is open, allowing the dynamic reuse of IP addresses
   via {DHCP}.

   PPPoE works by {encapsulating} PPP {frames} in Ethernet
   frames.

   (2006-09-20)

from V.E.R.A. -- Virtual Entity of Relevant Acronyms (June 2006)

PPPOE
       Point-to-Point Protocol Over Ethernet [protocol] (ADSL, RFC
2516), "PPPoE"