Hi Obiora!
Sounds like the router is going to be a bottleneck in your POC. The fact that the connection is 10baseT is bad enough but the half duplex is a deal killer.
What model router are you using for this POC?
You really want at least an ISR series (1800, 2800, 3800) model. The older models are supported but you need to tell the customer that this is not ideal. Additionally, this should be done on lab equipment and not production.
The reason for this was once explained in this forum by I believe Zach Seils:
"The biggest performance hit on legacy routers is not the WCCP process itself, but rather the increased levels of throughput that are generated from the WAE. Due to the compression technologies in WAAS, a T1 worth of compressed traffic can decode into tens or hundreds of Mbps of output. Older routers can't sustain these throughput rates."
You might want to find another router in order to demonstrate the full functionality of the WAAS appliance.
Hope this helps.
(My apologies if I attributed the quote to the wrong person. From my experience the legacy equipment does not contribute to a very persuasive POC.)