Expanding Server Capacity Clarification

[Azmaria]

From what they've been saying it seems like a hard limit. So odds are they'll have to offer people transfers to ease the limit.

5000 really isn't very low. You can see tons of people in every area as it is now. remember 5000 simultaneously means tens of thousands of characters active on the server in total.

Please explain to me how that works, I would imagine 5000 concurrent connections meant total players connected to the server, mind just enlightening me on the tech side of what that statement means to what you say?