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When you fired it up did XP say anything about installing drivers? If not the drivers for card were either installed before you got the PC, or it is a type that XP knows about. If it did ask, did you get a disk with the card? If not you'll need to identify the ethernet card type and download the drivers from the internet on another PC.
To connect multiple PCs you need a hub or switch. Most routers these days have several hub/switch ports so you don't need that extra bit of hardware.
You mentioned a router. Is it really a router or a modem? A router will have your internet configuration set up on it and supply addresses to your computers using NAT and DHCP. It may have ports to plug in more than one PC. In that case all you should need to do is tell XP to get an IP address using DHCP.
I'm not going to try explaining how to set up a modem, hub/switch, and internet connection sharing. The M$ wizard will walk you through the process. I've never used ICS becase I don't run Windoze. I bought Mum a router because it is simpler to set up and generally more reliable.
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