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Thanks to gianly1985 for your response post.
You are correct, I was using Scenario 3.
I used Earthlink's Speedstream simply as a DSL modem _ and _ was using the Airport Extreme to handle the PPPoE & NAT functions.
To restate what I posted previously, when the DSL modem handles the PPPoE function it did not drop connections ... though I was connected to it directly via ethernet
(with Airport Extreme not used at all in the connection).
It seems clear, at this point, that it is Airport Extreme that has the problem and drops PPPoE connections for many users under some varied _ and _ thus far undetermined reasons or conditions
(e.g. for some it's spontaneous, for others following Wake-from-Sleep, for me and many others it is during streaming of media).
I am moderately knowledgeable but not expert.
I knew I could use the AEBS in "bridge" mode but was not clear enough on the implications (pros & cons) of doing so.
I thought I had read that it would adversely affect function or place some limits on the operability of some of AEBS's built-in features.
Either way though, the AEBS should still NOT be having these problems.
This is a normal & routine expected use of this device and should not require a "work-around".
It should be able to handle PPPoE functions without chronic repeated loss of connections.
The AEBS has some type of problem, which has been noted since around 2006-2007 and which remains as yet unidentified _ and _ unresolved;
whether by Users or by AppleCare.
.
Did you ever find a solution for this ?
I have a very similar setup (DSL, PPoE on AEB) and after an upgrade to FW 7.6.1 my internet has gone completely bananas. I've tried to downgrade again (7.6, 7.4.2) but it seems more or less bricked now. I get disconnects completely random. Sometimes I can go for an hour, other times I get it within minutes. Check out this log:
eb 12 00:14:59 Severity:5 Clock synchronized to network time server time.apple.com (adjusted +0 seconds).
Feb 12 00:16:54 Severity:5 Disconnected.
Feb 12 00:17:00 Severity:5 Connection established 99.17.206.132 -> 99.17.207.254.
Feb 12 00:17:34 Severity:5 Disconnected.
Feb 12 00:18:40 Severity:5 Connection established 99.17.204.213 -> 99.17.207.254.
Feb 12 00:20:50 Severity:5 Disconnected.
Feb 12 00:20:56 Severity:5 Connection established 76.254.23.34 -> 76.254.23.254.
Feb 12 00:22:36 Severity:5 Disconnected.
Feb 12 00:22:42 Severity:5 Connection established 99.17.206.87 -> 99.17.207.254.
Feb 12 01:01:16 Severity:5 Disconnected.
Feb 12 01:01:22 Severity:5 Connection established 99.17.206.87 -> 99.17.207.254.
Feb 12 01:14:41 Severity:5 Rotated CCMP group key.
Feb 12 01:14:59 Severity:5 Clock synchronized to network time server time.apple.com (adjusted +0 seconds).
Feb 12 01:15:12 Severity:5 Disconnected.
Feb 12 01:15:13 Severity:5 Disconnected.
Feb 12 01:16:18 Severity:5 Connection established 99.24.221.192 -> 99.24.223.254.
Feb 12 02:14:41 Severity:5 Rotated CCMP group key.
Anyone else with some solution ? I've read a bunch of threads over at apple, and this seems to be quite common but without any solution.
😡