Your
DHCP server (either Server 2003, or the ADSL/modoem router) dishes out IP addresses and other information to all clients on your network. The DHCP server also specifies what the "default gateway" is - i.e. to which machine all other machines must pass internet-bound traffic to.
Now that you have set your Server 2003 box to dial the PPPOE connection, your server 2003 box is now the default gateway, i.e. it is the machine that knows what to do with internet-bound traffic. Except that the DHCP server on the router is still enabled, and still dishing out IP Addresses and other info, and still telling the rest of the network that it is the default gateway, when in fact it isn't, as it doesn't even have a (direct) connection to the internet (it is not dialling any PPPOE connection directly, the Server 2003 box is).
So you have 2 options here
- keep the DHCP server on the router enabled, but tell the DHCP server that the default gateway is the Server 2003 box, so that it will tell other clients on the network the address of the default gateway
- disable the DHCP server on the router, and turn on the DHCP server built into Server 2003, and tell it that the default gateway is itself (i.e. the server 2003 box). You'll probably have to enable routing as well on the Server 2003 box, but this is quiet easy to do with the built-in wizards
In any case, I don't see how getting another machine to dial the PPPOE connection will make your ADSL connection any more stable than if you modem dialled the connection directly. The traffic still has to pass through the hardware of your modem, and down the same line. I think Telkom are telling BS, and just avoiding the problem, or making you run in circles.
The stability problem could be a problem with the modem itself. You should try another ADSL modem on your line, and try your own ADSL modem on somebody elses line to test if the modem is actually the problem.