Internet sharing WEP password problems

Hi,
I just bought a new Ipod Touch (2nd gen, 2.1 software). To connect to the internet, I share the internet connection from my MacBook Pro using the airport. I added a 40-bits WEP password. The first time I use it, it works perfectly fine, but if I turn off the airport and restart the sharing again, my iPod touch is not able to join anymore. The error message says "wrong password". If I open the sharing preferences in the mac and reset the password, it works again, but it is very annoying to do it every time.
Has anyone experienced this issue?
thanks,
C.A.

... a few months later, you get a response.
I don't know if our issues are related, but I found that if I simply turn off airport on my MBP, and the turn it back on the ipod will reconnect (no need to change the pw).
My issue was just with the internet sharing connection dropping every 2 - 5 minutes. I'm trying a static IP on my ipod... maybe that will help.
Anybody else encounter this type of thing?

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