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Cisco routers contain 4 types of memory:

DRAM, which is used in the same way as RAM in your PC to contain running programs, as well as buffer the data being routed etc.
NVRAM, which stores the startup-config configuration used by the router to determine what it should be doing.
Flash, which contains a copy of the IOS operating system and acts as the router's 'hard drive'
ROM, used to permanently house the bootup sequence and a minimal version of IOS that's mostly intended to let you load a real IOS into flash.

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