Wireless network odd issue (2 laptops set the same, only 1 works)

Ok, first, the setup...I realize this is a disertation, but I put every detail I could think of to hopefully make this easier to figure out.

Comcast Internet, coming into and out of a Linksys Cable Modem, shared via LAN patch cable into a Linksys Wireless-G Router.

One desktop running WIN XP SP1 plugged into the router with Ethernet - works flawlessly. One laptop running WIN XP SP2 on the wireless, works flawlessly.

Both computer have manually set IP addresses, gateways and DNS settings, pulled from the router and obviously correct since they both work. The two computers are able to share files and printers as well. The wireless is encrypted with WPA-PSK.

Now, I have tried to add another laptop (WIN XP SP2) to the network and have not succeeded. I am able to see the network in the wireless connections, and I can connect to it by putting in the encryption key.

However, I also have to set the IP address, gateway and DNS settings manually as well before it will completely connect (otherwise, it simply sits at 'acquiring network address.')

Once it is connected, the fun really begins. The wireless proclaims that it is connected “Excellent,” however, I opened a command prompt and tried to ping the router and the other two computers, and I cannot hit either of them. The prompt declares that the request times out. If I do not set the IP address manually and try to let it pull down the IP automatically, it says host unreachable instead.

Neither of the other computers can ping the new laptop. I tried releasing and renewing the IP with no luck. I ran an ipconfig /all and the settings are identical between the two laptops, except I put one’s IP address as 192.168.1.102 and the other as 192.168.1.103.

I made sure that the new laptop is accessing the same type of wireless encryption as the network, and everything is wireless G. Also, there are no firewalls of any kind running anywhere.

This has me insanely frustrated because the two laptops are set up exactly the same through every network and wireless setting I can think of, and yet the new one simply says it’s connected but will not access any network resources.

Suggestions are greatly appreciated!

I have the exact same problem, the only difference is that the wireless connection has worked previously.

The setup: ZxXel modem / router -> Linksys wireless access point. 64bit WEP encryption.
PC 1 -Static IP address, Subnet and default gateway. Belkin wireless USB adaptor. XP home
My laptop (pc2) -Static IP address, Subnet and default gateway, Netgear wireless USB adaptor, xp pro. connects first try to the ap, with static IP.
I try installing PC1 with my known working netgear adaptor, same result.

The problem PC will connect to the access point, but I cannot ping the PCs on the LAN or the gateway. I can however ping PC1 from my laptop (pc2). I can also get a reply from PC1 with net view \\192.168.29.102 issued from my laptop.

PC1 will connect to the LAN / internet correctly via wired connection.
I have tried uninstalling and reinstalling various windows networking components. I have also repaired the tcpip stack with netsh int ip reset (logfile) and repair winsock2 with the netsh winsock reset.
I have tried the lspfix program, but that reported no errors.

There are no virus / malware on the system...

I know the PC is talking to other PCs on the LAN, but something in the O/S is blocking outbound communications, and its doing my fruit in!!

Fuzz