Why is broadband required with WRT54G?

I bought a new WRT54G and a companion wireless pci card for my other PC after specifically asking the tech guy on duty if this would work as a 2 PC network without any internet connection, and he said yes. Only after getting it home and opening the box is there comment about a necessary high speed internet connection (nothing about that on the outside of the box). I was sad to say the least, but decided to try it despite my gut feeling it was to be in vain. It works to a point though - Both computers "see" the router, but cannot "see" each other. I wanted to do 2 things, play multi-player Quake 3 which it miraculously does, and share folders / files, which it does not (yet). Any thoughts on how to get that done? I'm not a network guy obviously, so don't yell at me for being a know-nothing regular guy.
Setup:
* Dell Dimension 8300, 3GHz Intel, Windows XP Pro, 1G Ram, Ethernet Port from motherboard, Dial-up only because I rarely do more than check email from family (no need for speed here, and it's super cheap).
* Regular hard network cable from Dell computer to port #1 on WRT54G.
* WRT54G Wireless Router. Lights illuminated: Power, WLAN, & Ethernet #1. Appears to be working fine, setup went ok, and network icon @ lower right of my computer monitor shows "Speed 100.0 Mbps, Status Connected".
* Signal beamed and picked up by a Wireless-G PCI Adapter in my Compaq Presario SR2020NX, Athlon 64 3500+, Windows XP Home, 512Mb Ram. That computer reports (after setup) an "Excellent" connection with the WRT54G, and the "wireless icon" at lower right also shows a perfect connection, but there is no sign of the other computer in Windows Explorer although, as stated, Quake 3 multi-player connects fine.
* Both PC's have file & printer sharing enabled, and all their drives have the "share hand" under them.
I also actually have a wireless laptop (Dell B130) with a 802.11a/b/g card in it, but it can't "see" anything despite numerous tries, but that isn't the priority, just another note I guess.
Lastly, I have downloaded "ELADownloadInstaller.exe", but have yet to try it. on either PC in fear of wrecking the Quake gaming playability (half of the goal is better than none). I did try it on my laptop because if I screw that up no one here cares. It asked to be conncted physically to the router which I didn't do, again fearing screwing everything else up. No go there...
Thanks,
Wayne K.
Goodyear, AZ
Message Edited by wayneproperties on 12-05-200606:22 PM

First, regarding the original question with the internet connection. The WRT54G is built to create a private home network and share a single internet connection for all computers and devices connected to that private home network. That what it is usually for and that's what they intend the router for.
If you don't have an internet connection, you cannot share that in your private network. You don't have internet. If that's O.K. for you, the router is no problem you.
If you want to share an internet connection later you'll need an high-speed internet connection like DSL or cable TV. You cannot share a old telephone dial-up connection on a WRT54G (at least, you cannot connect the WRT54G to a telephone line nor make it dial a phone number). That's the "high-speed" part of the requirement.
Anyway, for home networking the router will still do its job.
Regarding the wireless connection problem: You should check whether the wireless security settings on the router and on the laptop match. There are different ways for encryption etc. and if the settings don't match you cannot connect properly.
For this: go to http://192.168.1.1/ and enter the router password (not the wireless network key) which you have chosen during setup. The default password is "admin". You don't have to enter a username. It brings you to the router configuration pages. Go to the wireless tab. There are subtabs for basic wireless setup and wireless security. Please post current settings.
For the settings on the laptop there are several options how it uses its wireless card: many laptops come with special software for the wireless card which is used to set it up and connect to wireless networks. You have to find out how your software works and where you'll find the settings if this is the case.
Some laptops simply use the windows built-in functions called Windows Zero Configuration. To check that, you right-click onto the wireless network icon in the tray and select Properties (or Status and then press the Properties button in the status window). Change to the wireless networks tab. The top checkbox should be active, i.e. Windows is configuring your wireless connections. In the bottom half you'll see the list of preferred networks. Select the network with your network name (the SSID from the router configuration above) and press Properties. Post which settings you have currently for your network on the tabs in the window showing up.

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