It does not take advantage of quad core. With your current system you will have no problem hosting a server. Your 1MB up bandwidth is gonna limit you more than anything. Even with that though you can get a fair amount of players in. If I remember correctly Storm Haven server has a 1MBit up connection and I have seen 100 players on it before. I would say 100 is about the best your gonna do with 1mbit up and that's a stretch. Trevius much have a very good connection.
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