I have a 3com router (3CRWDR100A-72) running the latest firmware and their supplied wireless usb receiver is sucessfully transmitting the signal to my XP desktop upstairs. However, I have recently purchased a Vista laptop with built in wireless and am having difficulty connecting. Strangely, it appears that the further away from my router I go, the more likely I am to connect. If I sit next to the router, the laptop will not connect wirelessly. If I get a wireless connection in the garden, then carry the laptop into the front room (next to router), it remains connected. When I try to connect and run the diagnostic test, it says failed because of a timeout. It recognises the network, it just won't connect. Any suggestions as to why this may be.
You are having exactly the same problem I got with a Toshiba Laptop running Vista, It would only connect if Encryption in Router was Disabled. Took the Laptop Back to Currys and got my money back. I have since bought a HP with a Centrino CPU running XP Home. I now can connect with this one.
PS I spent a Week trying every thing to get it to connect with Encryption but it was a NO NO