The PC sees the modem, but simply wont connect to the net, Here is a screengrab to help you understand
My connection looks like that at least 10 or 12 times an hour Jon, and thats with Homecall, I've tried 3 different routers and two computers and more phonecalls to the help desk than I can remember. They ALWAYS say its not their fault and that the broadband connection is fine, personally, I think they're talking out of their arses.
With yours, its obviously recognising the router, have you tried disabling the routers firewall?
we run two laptops in this house, one is using xp and mine runs vista (which I hate), we were blueyonder now virgin and so far we havent had any connections problems, but both our laptop are connected via a wireless router which is connected to the broadband modem an Atlantis one, and I have taken the firewall off my pc because vista wont allow anything it is crap !!!