Iphone blocks imac's internet connection

My iPhone 3g, with firmware 2.2, appears to block the internet connection for an iMac (Intel 2.66 core 2 duo, 10.5.5) which is connected to the internet via a wireless connection to a router. This happens intermittently, and stops when the phone is switched off, or the wireless is turned off. The phone can access the internet through the same router even when the iMac can't.
Any ideas why this might happen?

Hello Anjan,
There are several potential causes for the symptoms you're describing.
If the wireless router is not setup to distribute IP addresses via DHCP or it is setup in bridge mode, you can have issues getting multiple clients on the network.
If the Ethernet cable from your cable or dsl modem is plugged into one of the LAN ports instead of the WAN port on the wireless router only one client at a time will be able to join the network successfully.
You didn't mention what brand or type of wireless router you are using. If it is an Apple AirPort Base Station, you can find troubleshooting info in this article:
http://support.apple.com/kb/HT1401
If you are using another brand of wireless router, you may need to refer to the owner's manual or contact their support.
Another thing to try would be to power cycle both the wireless router and modem - removing the main AC power from both for 5 minutes and then powering up the modem first, and then the wireless router after the modem's LEDs are in their normal running state. If you have a VoIP phone system with your cable provider, the modem may have a backup battery inside that will prevent the device from resetting even when disconnected from AC power - if this is the case, contact your ISP for information on power cycling the device.
Charles

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