The team has managed to rig up a laser to fire and hit the first networked atom in a way that the atom preserves its quantum state, but also produces a photon with that information plastered onto it. The photon then shoots off down the fiber optic cable delivering it to the second atom. Network achieved. On top of that, the researchers managed to get the two networked atoms to entangle, which means the network should be completely scalable to something along the lines of an Internet.
NOVA series on quantum mechanics.
And another link from Cornell: Does quantum entanglement imply faster than light communication?
Say you agree to send out two beams of light to your two friends who live on opposite sides of the galaxy (you live in the middle). Ahead of time you tell them that if one of the beams of light is red the other will be blue. So you send the blue beam to your friend on one side and immediately she knows that your other friend is recieving a red beam at the same time. Aha! You say, my friends have now communicated at a speed faster than the speed of light and violated relativity, but no real information has been passed between them. You have told both of them at a normal sub-luminal speed about what you just did and that’s all. (A way of proving there’s no faster than light communication is that you could lie and send them both the same coloured beam of light and they would never know!).