Internet Sharing + Lion = some lack of respect from Apple!

Snow Leopard worked great, although I had some issues sharing my built-in airport connection with PC's....
Now, all got better. Nothing works. Spent some hours on the web trying everything that worked for others.
I have a slick 3.2. GHz i3 Imac, with the built-in aiport utility (not very useful after all!)
My issue is that Macbook air, Ipad and Iphone can connect to the imac, but internet connectivity is NOT available. Don't even start me by trying to connect a PC again....
Alredy tried:
( i)  changing the network name;
(ii) changing channels;
(iii) changing passwords, simpler passwords, no passwords;
(iv) putting manually the DHCP
(v) with several IP adresses.
(vi) DNS Servers as well. Only Google DNS worked....for googleing, nothing else. You try to hit a link and doesn't work either.
I was recommended to set up a router. I refuse. i didn't purchase this computer, with the built-in airport express so I have to set a router.
I searched for some official press release from Apple saying something. Not even that. Not even saying their are sorry for the inconvenient. The google experts at the store just told me to wait for an update....
If someone knows how to fix this, if there is something to be done, I'll appreciate.
Have a nice weekend!
A. Toro

Toro78 wrote:
I have an Imac G5 with buil-in airport utility (5.5.3).
I still don't know what you mean by this.  AirPort Utility is an installable program.  Why do you refer to it as "built-in"?
I have established an Ethernet PPPoE connection.
Is your Mac connected directly (via an Ethernet cable) to a DSL modem?
I'm sharing my connection through my built-in router.
I asked you before to explain what you mean by "built-in router" but you haven't.  Do you mean the "Internet Sharing" option in the Sharing panel of System Preferences?
My TCP/IP config is using DHCP with manual address input.
There are several programs where this type of thing can be configured.  In which program and panel do you see that option?

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