Re: 2 PC, 1 USB and Ethernet
In which scenario?
With Internet Connection Sharing enabled, yes. Your upstairs PC would be reliant on your downstairs PC being switched on.
With a router, no. Provided the router was powered on your two PCs would have internet connectivity independent of each other.
Of the two options a router is by far the easiest to configure, maintain, and troubleshoot - it's also the most flexible.
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