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Gateway vs. Router: The Important Differences

The internet game is changing. Many internet service providers are now offering your internet either through a traditional modem and router, or through a new device called a gateway. So, what’s the difference between these options, and which one is right for you?

An internet gateway is a device that’s designed to be simple and easy to use, whereas the modem and router combo offers a much more customizable internet experience. If you’re not the type of person who’s going to tinker with your internet settings, the gateway is probably the better option.

The gateway or router debate can be a little overwhelming, and it certainly doesn’t help that it usually comes packaged with a ton of incomprehensible technical terms. If you’re feeling confused, don’t worry. Let’s break it down into simple terms in order to help you come to an informed decision.

What Is a Gateway?

Man plugging in cable to wireless router

The simplest way to describe a gateway is that it’s like having a router and a modem combined into one device. The modem is traditionally the device that receives your internet connection, and the router splits the connection so that it can be connected to by multiple devices at the same time.

The router also allows you to connect to your internet connection wirelessly.

Again, a gateway combines both of these processes into one device. Gateways are a relatively new device that not all internet service providers have adopted yet, so you may need to make sure yours even has them as an option before you go any further.

What Is a Router?

As mentioned earlier, a router splits your internet connection and allows you to connect to it wirelessly, but that’s not really all it does. Your router also encrypts your internet signal to help protect you from any malicious people on the internet.

Routers protect your connection through something called a Network Address Translation (NAT) Firewall. This makes it so that your internal IP address is not displayed for hackers, protecting your computer from any data that you yourself did not request to access.

What Are the Key Differences Between a Gateway and a Router?

Fair warning: here’s where we get into a little more technical language.

The most important difference is that routers and gateways have different goals. The router wants to forward data packets from one network to another, whereas a gateway wants to convert these data packets from one protocol to another.

Basically, a router is only going to move data packets either from the modem to your computer, or from your computer to the modem. A gateway will actually convert these packets from one protocol to another in order to transfer the data.

There are other differences that may only matter to more tech savvy readers. For example, dynamic routing is one of the most efficient ways to transmit data. A gateway isn’t capable of dynamic routing, whereas a router is.

Another important difference is that a router is hosted on a dedicated appliance, while a gateway can be run on a dedicated appliance, but also a virtual appliance and a physical server. They also differ in their OSi layers. A router is going to work on both layer 3 and 4, but a gateway is going to work all the way up to layer 5.

What Are the Benefits to Having a Gateway Over a Router?

The previous section probably caused some eyes to glaze over, but don’t give up just yet! In this section, we’ll break down the gateway vs. router debate in simple terms to help you come to a decision.

The main benefit to owning a gateway rather than a router is that it’s less clutter and there’s less to worry about. As mentioned previously, the gateway is just like a modem and a router combined into one device, so you only have to worry about setting up one designated “internet box” rather than all the hassle that comes with ordering a modem and a router.

If you’re not the type of person who will tinker with your internet setup, it’s recommended that you simply go with the gateway.

However, if you are the type of person who likes to manually configure your devices, having the modem and router separated may be worth your time. For example, if you’re someone who desires extra strong protection for your internet data, there is a device called a VPN router that can give you that extra shield.

VPN routers are routers that have been configured to automatically connect to VPN servers. These VPN routers will encrypt the data that you send out, making it even harder for someone to take advantage of your data.

Because a VPN router is a type of router, it can’t be used in combination with a gateway. So, if you want to use one of these, you’ll have to stick with the router modem combo.

Basically, gateways are made to be simple to set up and easy to use. However, using a separate router and modem combo allows for much more customizability with your internet connection.

Are Gateways Slower Than Routers?

Wireless router

This is going to depend on the type of router that you buy. If you compare a gateway to a cheap, low-end router, the gateway is going to come on top. On the other hand, if you compare a gateway to an expensive high-speed router, the router will come on top.

It is also worth mentioning that you can buy a new router — like the NETGEAR Nighthawk (on Amazon) —without going through your internet service provider, whereas you need to go through them to get a new gateway.

This means that when a new high-speed router drops, you can simply buy it yourself and install it yourself.

In contrast, when a new high-speed gateway drops, you’ll have to contact your internet service provider to order it, and then you’ll have to wait for them to come and install it. Basically, updating a router for higher speeds is much easier than doing the same with a gateway.