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The definition of a modem is a tool that sends and receives a signal to create a network and Internet connections. An example of a modem is a tool that lets a computer connect to the Internet.
Modem : However, a modem is a device that provides you access to the Internet on connecting to your Internet service provider(ISP). By connecting your modem to your router (instead of directly to a computer), all devices connected to the router can access the modem, and therefore, the Internet. The router provides a local IP address to each connected device, but they will all have the same external IP address, which is assigned by your internet service provider.