Your speed dropping like that isn't abnormal: it can be due to one (or more) of your uploaders establishing another connection with another user.
As for the "10 hosts" thing, I think that this is the limit.

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iMac G4 OSX 10.3.9
RAM 256MB
LW 4.10.5 Basic
ADSL anything from 3 to 8Mbps/around 1024kbps

"Raise your can of Beer on high
And seal your fate forever
Our best years have passed us by
The Golden Age Of Leather"
-Blue Öyster Cult-