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Uplinking, as far as I understand, just adds more connectivity to your network. Here's an example. My family's cable modem is upstairs, as is our router, however, my brother and I both have our rooms (and our computers) downstairs. Originally, we just had one cable coming down for me, but when my brother got his computer he wanted Internet. So, I took an old hub we had, and set it on 'Uplink Mode' (note, most switches allow ALL ports to uplink, but originally it had to be a specified port, in this case, Port #1), my brother and I are plugged into 3 and 2 respectively. Because it's in uplink mode, we're getting out information from Port #1 on the Hub, which in turn, is going back to the router, which allows us both to be on the network and the Internet as though we were both plugged into the router.
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