What a way to spend sunday!
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First of all, thanks for the help so far Zarni.
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1. MY xbox/local area connection uses DHCP. The console is automatically asigned an IP address from the pc.
2. Panda was closed and the connection was retried/repaired - nothing different.
3. Right click repair on the xbox connection yielded the same result.
4. xbox/local area connection status = limited or no connectivity, speed = 100mbps, packets were sent to the home pc but none were received by the xbox/local area connection.
5. My pc router/modem does not show any DHCP options. The icon for it doesn't show the option and the webpage for the product on bt has a broken help guide that doesnt work. I downloaded the latest patch and nothing seems to be different, no new programs/diagnostics/help guides etc. Xbox live recommended typing the router ip address into a browser to access options but this didnt show anything at all.
6. i pinged my routers ip address and all info was sent and received. I did the same with my xbox connection with the same result.
7. i pinged 127.0.0.1 with all info sent and received.
Any of this any use or did i waste my time?