The majority of households share one phone line for both voice calls and internet usage; as a result, while one is surfing the web any incoming voice calls will not get through. The Modem-on-Hold feature allows you to receive incoming calls while still staying connected to the web. Inversely speaking, you can call out while connected to the Internet and not loose your Internet connection. (Note: In order to take advantage of the Modem-on-Hold feature, "call waiting" from your phone company is required).