My router always drops my connection at 500kb/s?

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I am using a Netgear WPN824 and whenever two or more people are trying to watch a video on youtube (on separate computers) the connection drops out. I have managed to work out that this happens at 500kb/s. I have run a speedtest which shows I could be getting up to 8.5mb/s.

Is this just because me router is old? Any ideas on how to fix this?
 
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