I've been trying for a long time to get my Droid working on Wifi with no success. I have a D-Link DIR-655 router and while the phone would connect and get an IP address, there would be no internet access. As a matter of fact, it wasn't even able to ping the router.
However, after updating today to android 2.2.2 it finally works! For security I use "WPA2 only" with AES.
However, after updating today to android 2.2.2 it finally works! For security I use "WPA2 only" with AES.