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Torrents cause net browsing in Vista to lag and time out


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First I'll explain my internet setup a little bit....

I have a 3mbit DSL connection through AT&T (Bellsouth). My modem is the 2wire Wireless Gateway 2701 HG-B (seen here http://store.att.com/Catalog/ProductDetails.asp?ProductId=GR04NR12&CategoryId=catMRG)

I have a Windows Vista Home Premium SP2 x64 connected via ethernet and a Windows XP Home SP3 connected via wireless. I have the proper port forwarded to each computer as it should be for uTorrent. Each computer is running up to date Kaspersky Internet Security 2009 (no other protection software installed on either machine). Each machine is using uTorrent 1.8.2. I've also made sure that Kaspersky isn't blocking any type of torrent traffic. My XP machine has tweaked settings (using the TCP optimizer from speedguide.net), my Vista machine hasn't been touched as far as connection settings go.

When I'm downloading any number of torrents on either machine or on both machines at once, my internet browsing come to almost a complete halt. Its EXTREMELY slow if the web pages decide to load, a lot of the time they just time out. If I exit uTorrent on both machines, my browsing returns to normal.

This will happen if uTorrent is only downloading at 5kB/s or 500kB/s, it doesn't matter how fast the torrents are downloading. I've tried right click on teh torrent - low bandwidth allocation and didn't make a difference. I've tried limiting upload and download speeds and it doesn't make a difference. I've also tried encrypting torrent traffic through the uTorrent settings and that didn't make a difference.

Any help would be great. My ISP has terrible tech support, so they are just about helpless when it comes to this. I call tech support and wind up knowing more then they do. I use to have the 6mbit connection and this problem still occurred. I use to use cable internet (6mbit) and didn't have this issue, but at the time I didn't have two machines hooked up at once. I'm at a loss of what could be causing this problem. Please someone point me in the right direction on how to solve this. I'm pretty tech savvy, but this one eludes me....

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I've already seen that and nothing in there has helped me.

Windows Vista Machine :

Vista Home Premium SP2 x64

AMD Athlon 64 x2 5000+ (2.6GHz)

nForce 430 Chipset

geForce 6150SE onboard graphics (256MB dedicated and 1100mb shared)

3gb of RAM

Kaspersky Internet Security 2009

uTorrent 1.8.2

Windows XP Machine

XP Home SP3 x86

AMD Sempron 2800 (1.6GHz)

nForce 250 chipset

geForce 5200fx graphics (128mb agp)

768mb of ram

Kaspersky internet Security 2009

uTorrent 1.8.2

uTorrent settings: (both machines have same settings, but use different port)

upload limit : 47.0kB/s

upload slots : 4

connections per torrent : 40

connections global : 100

max active torrents : 3

max active downloads : 2

current port : xxxxx port tested ok through speed guides port test on forwarding

DHT Network, DHT for new torrents, Local Peer Discovery, Peer Exchange, UPnp port mapping, NAT-PMP port mapping, and add windows firewall exception are all enabled (disabled all and didn't make any difference)

Proxy Server: none

Porocol Encryption : Outgoing enabled allowing incoming legacy connections

here is a speed test result


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