To use ICS to share your Internet connection, the host computer must have one network adapter configured to connect to the internal network, and one network adapter or modem configured to connect to the Internet.
Log on to your PC as Administrator or Owner.
In Windows XP, ICS is automatically loaded during installation.
On the taskbar, click Start, right-click My Network Places, and select Properties.
Below the Broadband heading, right-click PPPoE Connection. Note You might see the name of your ISP, for example, earthlink, rather than PPPoe.
On the shortcut menu, click Properties and then click the Advanced tab.
Below Internet Connection Sharing, click the Allow other network users to connect through this computer's Internet connection check box.
From the Home Networking Connection drop-down list, select the networking connection to which your computer is connected (for example, Local Area Connection).
Click OK. The connection to the Internet is shared to your Xbox console.