OK- your basic addressing info looks correct; let's find out exactly where the communication is gettting broken:
* When troubleshooting
any network-related issue, the first thing you need to do is to completely disable any firewall software (including XP's built-in ICF/ICS features). Simply choosing the "Disable" option in the firewall program's settings/preferences rarely turns the firewall off
entirely; you will need to deselect the preference setting that tells the firewall to automatically start when Windows boots, and then restart the computers. After reboot, verify that the firewall is indeed disabled.
Keep your firewalls dropped until you get things working.
* Click on the "Run..." option in your Start menu. In the "Open:" box of the resulting window, type "cmd" (omit the quotes) and hit Enter. This will bring up a DOS window.
At the DOS prompt, type the following commands, hit Enter after each, and tell us the results for
each command:
ping 127.0.0.1
ping 192.168.0.1
ping 66.102.7.99
ping www.google.com
* Try reaching a site by its actual IP address instead of its URL. For example, open a browser and enter the following in the address/location bar:
http://66.102.7.99
If that takes you to Google, chances are pretty good that you do have a DNS problem.