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Help Wifi issue with Gingerbread

I have a cappy that was running froyo and rooted. Plugged up to my computer for the gingerbread update and phone got stuck constantly rebooting. I held up, down and power to do a hard reset (factory wipe) and phone rebooted. Then saw version running was 2.3.5 and figured great, but now i cant get wifi. Phone says 'obtaining IP address...' forever but never connects to home network. Never had this problem with 4 other android phones running eclair or froyo, just entered router access number and was good to go. I need wifi!!!!! Please help.
 
Turned off phone, unplugged power from router, waited 20 secs. plugged in router, turned on phone, wifi connected n range is excellent.
 
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