gavan_white
My problem is that I don't know whether I am safe port forwarding to the SME in server only mode (single ethernet) or whether I should set it up as sever gateway mode for these port forwarded events eth0 to the modem and eth1 to the rest of the lan. I assume the firewall is best in the latter setup.
Either server only or server gateway mode is OK, they both expose ports/services on your sme server to the Internet.
In server only mode you rely on the modem/router to do the firewall functions, whereas in server gateway mode, sme server acts as the firewall.
Which firewall is better, opinions will vary. A regularly updated sme server will use the latest kernel version & likely be more secure as a result, whereas many users may not update their modem firmware.
Better is an interpretive word, in some ways the sme server firewall could/would be considered better than a regular modem, but if your modem/router is a specialised firewall device, then that may well be better.
Functionality & ease of use will also affect a users determination of which is better.
Where sme server requires more expert knowledge to configure the firewall for specialised requirements using a command line interface, a modem with a nice GUI interface may well do the same thing but be easier to configure, & therefore be considered better, due to the GUI interface being easier for a non expert to use.