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)