My router was a Pentium2 400 up until less than a year ago, when I upgraded it to a P3 900 so that I could stuff more RAM into it to enhance my squid experience. With just ipfw, hostapd, openvpn, nat, sshd, squid, bind, dhcpd, and dhclient running, it was perfectly fine on the P2, even, and squid was even fine, I just wanted to let it use some more memory for caching.
It routes between three wired cards (internet connection and two switches with different subnets and different ipfw rulesets) and a wireless card which runs as an AP with hostapd. Did all that just fine with only 128 megs of ram, too, by the way.
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