I found the way to get networking between XP and 98 to remain, install NetBeui... You can locate it on the XP CD in /VALUEADD/MSFT/NET/NETBEUI. It is cake to install, just read the text doc if you have any questions. Microsoft decided to no longer support NetBeui since it is a non-routable protocol. But that has cured all of my XP-98 woes.
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-Michael

#040103696 on a shelf
Mk2a - 90 GB - Red - Illuminated buttons