Error Updating WINXP 0x80072EE@

Setting up brand new Dell with WINXP. Obviously, XP wants to update (it is SP2). It checks to see if I have the latest version of Windows. When I select either express or custom on the next screen, the scan begins and soon fails with the error message Error 0x80072EE2, indicating a possible problem with the firewall, or that my system did not respond to the scan, etc.

I went to the Microsoft site and got the workaround. I also went to PCworld.com and got their solution (same as MS). This did not work. I am running no firewall. MS Security is turned off. I have no proxy server. I have run a McAfee virus scan. I have run a number of anti-spywares. I have checked for hidden root code. I have run the MS Malicious Code Tool. I called AT&T about the router and that checked out ok.

I can surf the net (DSL - wireless connection) and downloaded updates to other programs.

I am not sitting at the new computer at the moment so I don't have any other details at hand.

I am simply out of options. Any suggestions will be appreciated.

Ric