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Lan is networking 2 to 4 wii's together like ds's do when you Pictochat the reason lan is cool is 4 wii's 4 tv and instead of using your internet connection the wii's talk directly to one another.

Thru your router or directly either way you need 2 or more wiis and 2 or more copies if the game.

Say for instance I have 3 360's and 12 controllers 3 copies of halo3 I can system link and 12 people can play under one roof at the sametime.

By the way you could ad another 360 and 3 more controllerwith H3 and go to 16 player also which is way wicked for parties.

This is why Cod4 with its splitscreen upto 4 players is cool but if you could push it to 16 players on 4 consoles instead of 16 console it would be better.