The $10.99 monthly 'extra' you're referring to is a service called "Connect & Protect". With it, Telocity does not give you any additional IP's. As a matter of fact, you lose the ability to use any static IP's with this plan.
Connect & Protect provides you with a different Telocity Gateway, with additional ethernet ports. It takes care of all the NAT work for you, and you either set it up through the Gateway's web interface, or software running on a Windows machine. Additionally, it provides some Windows-only Anti-Virus software.
If you chose Telocity because of their assignment of static IP's (as I did), do not get this 'extra'. You will be essentially forfeiting your static if you do.
My system (in case it inspires someone out there), gives me the best of all possible worlds, on the cheap. I have a slightly older computer running OpenBSD 2.9. This computer serves as my web and mail server. Additionally, I installed an extra NIC, which allows me to use it for firewall/nat duty for my workstations. It keeps my internal computers safe, and provides me with global connectivity, 1997-style. It works great, the only thing I have to worry about is Telocity's uptime. I only got it recently, and it's been good so far...
NOTE: All of the above statements regarding Telocity's service offerings were confirmed by the Telocity Technical representative when I called to sign up for basic DSL service.
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