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A proxy server lets remote users access databases where access is limited to a range of IP addresses, such as 163.28.234.1 to 163.28.240.254. A proxy server resides on a server that is within the IP address range the database vendor has. A person trying to access these databases via the proxy server will gain access because the server IP address is within the range the vender has. It is a way for remote users at a university to gain access to databases they would otherwise have to be on campus to access.
For more information on Proxy Servers, please consult the following website: Webopedia: What is a Proxy Server?