i'll try to keep this as simple as possible. but before i do, let me tell you where i was getting hung up. i kept thinking about the router's involvement and how in the world can addressing take place twice on a wireless adapter, etc. the lesson here is, don't think about it!
the router settings are insignificant.
anyway, here's the setup:
machine001 (has internet connection)
machine00x (just another machine connected to the router)
here's what you do:
. open up the connection properties you wish to share (the network connection that connects directly to the internet)
. click the advanced tab and check 'Allow other network users to connect through this computer's internet connection'
. under 'Home networking connection', select 'Wireless Network Connection'
. click 'OK' to save the changes
this now sets your wireless adapter address to 192.168.0.1. you can confirm this by opening up the adapter's properties and checking out its TCP/IP settings. this is now your gateway to the internet for all other machines connected to the router.
connect to the internet and do ipconfig /all and make note of the DNS Servers (you'll need to input these on any subsequent machines)
connect to the wireless router. (yes, that's it)
we're done with machine001
. open up the properties of your wireless adapter.
. go into the TCP/IP settings of the wireless adapter.
. tick the 'Use the following IP address' option and assign that machine another ip on the same subnet as the gateway, but do not use the same one as the gateway. for example, use 192.168.0.2 (notice the last number changed), let your subnet mask be 255.255.255.0 (default), then enter 192.168.0.1 as the gateway. and finally, under the 'Use the following DNS server addresses', enter the DNS addresses you got from the previous ipconfig results from machine001.
. connect to the router and you should now have access to the net through machine001!!
that's it, no other router configuration. doesn't matter if DHCP is turned on in the router or not.
if you're experiencing problems still then it's probably a firewall issue, so make sure you allow the necessary traffic to come in and out as requested by the other machines.
that's really all there is to it, i now have 3 machines and a ps3 hooked up thru the router this way. just remember to assign all the machines unique ip addresses.
hopefully this will help someone else out there.
no need for a $200 EVDO router either