What is a Proxy?
A ‘proxy’ or ‘proxy server’ is best thought of as the mediator between your
computer’s client applications (such as Microsoft Outlook, Mozilla Thunderbird, or your web-browser, for example) and an internet server.
The internet server’s task is to manage network resources, including database
information, website-traffic, and file storage. Your client applications connect
to various internet servers and request access and information. However, connecting
to a server on the Internet can take a while, especially when the information
is complex and lots of web-users are online and connecting at the same time;
and this is an instance in which the proxy server is useful.
The proxy stores the information it has assembled on previous visits to a website
in a cache-database; thereby speeding the process of information gathering considerably.
The proxy will regurgitate any information that it has stored in the user’s
subsequent visits to that website.
If the required information is outdated, the proxy will forward the request
directly to the internet server and the cache data will be refreshed. The user
can also do this manually; forcing a refresh in Mozilla Firefox (Ctrl
+ F5), for example, clears the cache and the internet server is contacted
again, renewing the information.
Local Area Network Proxies
The benefits can be felt strongly in Local Area Networks (LANs),
where many users connect to the net via the same proxy server. The proxy server
will store the information User 1 receives when they first connect
to a particular website. When User 2 visits that website they receive
the information instantly because the proxy server is able to retrieve the relevant
data from its cache, without having to consult with the internet server again.
The Local Network Server will be much faster in effect because its resources are not stretched by having to continually engage with internet servers.
Organizations often use proxy servers to restrict Internet access. Schools
and colleges, for example, will employ a proxy server to filter out inappropriate
materials and to block unsafe or unsuitable websites.
Proxies on the Web
Web giants like MSN, Yahoo! and Google use proxies to speed
up search-query and page loading times. If a website server is down the Proxy
server will be able to provide the user with the cached version
of the website, which was captured at an earlier date.

Google's cached version of a website (Click for larger image)
Anonymous Proxy Servers
Proxy servers can also help to protect your computer from unwanted external
intrusion by masking your IP address. Should an alien party
wish to gain access to your computer via the internet they will be unable to
do so if you are using an anonymous proxy server. This is a server that hides
both your identity and web-footprints and also masks the fact that you are using
such a proxy. Proxify.com is an example
of a web-based anonymous proxy server.
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