Abstract: A system and method for processing server-to-client and client-to-server data communications using data processing devices (DPDs) in a small-area system, such as a local area network or smaller system. The DPDs act as proxies for the servers to which the transmissions are directed. The DPDs are connected to each other in a small-area system using interconnect devices, preferably forming a bidirectional ring network, so that received transmissions can be passed among the DPDs to the appropriate DPD. The resulting system allows the DPDs to perform processing on the incoming data communications, offloading this task from the destination servers. While the preferred embodiment is specifically drawn to DPDs that perform encryption/decryption, the disclosed system may implement any number of data processing applications on data that is being transmitted between clients and servers.