If you're new to networking, then here are two pieces of good news to get you started. Networks are fairly easy to put together, at least in the home and small office environment, and they're also pretty cheap.
Let's start this guide by showing you just how cheap they can be. Say you have two computers that you want to hook up, then you have a couple of options. If it's basic file transfer you're after, then you can buy USB cables from the likes of Trust and Optronix that will handle just that. You plug either end of the lead into the respective machines' USB ports, run the supplied software, and you're away.
The downside is you can generally only get traffic up to 12Mbps, but that will be ample for many. To enjoy 100Mbps transfer, simply buy what's known as a crossover cable and two NIC cards. These cards cost under a tenner each and slot into a spare PCI slot. If you're running Windows XP, it's an absolute cinch from that point. It's a solution that can generally only work if you want just two PCs in the network, but it's a good one if that's the case.

The snag, though, comes if you're looking to share resources, such as broadband or a printer. That's because they rely on the PC that these resources are attached to being switched on whenever the other machine wants to use them. Fortunately, there is a more economical way, and that's when we visit the land of the router.
A router is effectively a box that controls your network, usually with some satisfying flashing lights to give you that feeling of control. The idea is that you plug your broadband connection directly into the router; and many such devices are available that also have a built in 'modem', which cuts out the need for a separate piece of hardware there.
Then you connect the PCs you want in your network directly to the router (check the specs of the model you want to buy to ensure it can handle the number of computers you want to connect to it) and, save for some fiddling around with software, that's that.

Many firms offer routers, with the big names including Linksys, SMC, Belkin and suchlike. Be aware that not all routers are created equal - we mentioned printers earlier, as some models allow you to plug a printer into the router too. However, it's a feature, and like all features, it's not offered by all. Note too that network speeds come in various flavours, from 10Mbps, through 100Mbps (which is just about ideal for home and business use) up to 1,000Mbps (also known as gigabit Ethernet - an expensive luxury for all but larger business).
If all this sounds a little too confusing, then there are two more options if you want to take the 'wired' approach. The first is to buy a kit such as that offered by Lindy, where you can use the electrical cabling in your house to act as your network. This isn't a cheap way to do things, and the amount of data that can travel over your network is quite limited, but it is extraordinarily simple to get going, and quite effective.
The other option is to buy one of the many 'Home Network In A Box' style kits, offered by firms such as Sitecom and SMC. These include the instructions, hardware, cabling and software you need to get going, and while often you'll find it cheaper to buy the parts independently, there is peace of mind when taking this route.

However, cabled networks are slowly on the way out. That's because the speeds of wireless networks are finally approaching a point that makes them practical. There are still other issues to consider, but we'll talk about those shortly.
There are simple and quite cheap ways to get a wireless network up and running. The first is what is known as 'ad hoc', whereby you put a wireless PCI card (there are USB and PCMCIA / PC Card solutions too) into two machines, and allow them to hook up that way.
Here you'll find the first problem start to kick in - range. Wireless networks are notoriously fussy when it comes to how far each wireless point can be from another. In some buildings, you may find that you can happily have one machine in the loft and another in the basement. In an older building, with lots of stone cladding and trunking, you'll find that the wireless signal will have trouble penetrating those ceilings.

There are, of course, ways around this, and that's why we're looking at routers again. A router has several advantages. First, many wireless routers can also integrate with a wired network. Then they can also include, in some cases, an ADSL modem, which is one less piece of hardware you need to worry about. You can also connect up more machines than you could with an ad hoc solution.
And then you can share an Internet connection without having one nominated machine always turned on. Routers, as we've discussed, can also include features such as printer ports, which allow the printer to work without depending on one specific machine, as well as hardware firewalls to keep intruders at bay.
Routers are, if you're serious about a wireless network, a very good thing. However, before you can make a selection, we have to look at wireless standards. These may sound baffling, but actually they're not. The simplest thing to do is make sure that your router and access points all conform to the same standard. And those standards are as follows...
802.11a:
These work on the 5GHz frequency. That's a high operating frequency and means that its range is limited, and 802.11a signals are less likely to successfully penetrate floors and ceilings. The upside? It's fast, at up to 54Mbps. 802.11a devices are not at all compatible with 802.11b and 802.11g units. 802.11a technology doesn't tend to be the cheapest, either. It does attract less interference, though.
802.11b:
This is on the 2.4GHz frequency, and because that's lower, it means that range is increased. A popular standard, the biggest drawback here is speed, chucking around a maximum of 11Mbps. This is actually fast enough for most home networks, and certainly for the likes of streaming video. Big data transfers may cause more problems, though. It's the cheapest standard, the most popular, and is compatible with 802.11g to boot.
802.11g: Again, this works on the 2.4GHz frequency, replete with the broadened operating range that offers. The speeds here though are up to 54Mbps, and prices don't tend to be through the roof either. Compatibility is offered with 802.11b devices too, although that will mean your wireless network runs at the slower speed. 108Mbps devices are also emerging, incidentally, based around this standard.

We've talked a lot here about the range of your wireless network. Range can actually be extended with access points, which need to be strategically located so as to get the necessary signal round your house.
The big drawback with wireless networking, however, is security, so it's worth looking for routers and cards with good security functionality built in. Always change the default passwords, and switch every piece of security on to prevent an outsider from being able to get to your files.
One final piece of advice when going wireless - try to stick to the same brand. Wireless networking is still relatively in its infancy, and compatibility issues do rear their ugly heads from time to time. Many of these can be headed off simply by buying same-name products. Good brands to look out for include Buffalo, Netgear, D-Link, Linksys, 3Com and Belkin. Budget hardware companies such as Trust and Sitecom also produce wireless ranges, and your best bet is to check out reviews and newgroups where possible and read about people's experiences.

If you're wondering why we haven't tackled bigger networking hardware here, such as servers, switches and suchlike, it's because that sort of thing is best done by experts. Which is not say that you can't become such an expert, but it will take more than a brief guide such as this to tell you all the benefits and pitfalls of enterprise network management.
All of the above may sound like a bit of a trawl, but actually it isn't. Networking is simpler than it ever has been, right through to software that does the bulk of the configuration work for you. It's quite possible to have computers linked together for a matter of pounds, too. In short, it's a good project to tackle, with some big benefits all round. Good luck!
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