What is the difference between a modem and a router?

A modem and a router serve different purposes in a network setup. A modem is responsible for establishing an internet connection with your Internet Service Provider (ISP). It converts signals from your ISP into a digital format that your devices can understand. On the other hand, a router enables multiple devices within your network to connect and communicate with each other. It creates a local network and assigns unique IP addresses to each device connected to it. Additionally, a router acts as a gateway between your local network and the internet, allowing devices to access the internet through the modem. While a modem solely handles the connection to your ISP, a router manages network traffic, ensures secure data transfer, and offers additional features such as wireless connectivity, network management, and security settings.