Well I threw everything I could at this issue, without returning my iPhone, and have had some success.
I originally tried doing a restore via iTunes but that didn't seem to help. However, I also chose to restore from the last backup (done by iTunes) so I suspect that I didn't do anything.
So I decided to fight on two fronts: one, I did another restore, this time treating the iPhone as if it were brand-new.
I then decided, in case it's the crappy ISP-supplied DSL modem/router/WiFi combo that was the issue, that'd I'd resurrect another WiFi router I had sitting doing nothing. I didn't want to actually use it as a router so after fumbling around without directions I managed to get it into bridge mode so that my DSL modem still is in charge of DHCP and whatnot. This is an older MS "At Home" 802.11g router that I picked up on closeout a few years ago for like $15 (MS only made this stuff for 6 months IIRC).
Anyway after swapping WiFi routers, along with the full iPhone restore, I do have better range. Occasionally my neighbor's AP shows too. I rechecked the laptop that has not-so-good WiFi range and it still seemed a little better though. Still, I tested my iPhone around the house and it seemed to work "most" anywhere (didn't work in my garage or outside the house--on the far end of where the AP is located).
I should note that I finally gave in and just used a static IP, and my ISP's DNS addresses (not the router IP). This as opposed to only overriding DNS settings.
One strange thing that I encountered had to do with trying to get around the DNS issue without using static IPs. I tried entering something in Client ID and at first that actually worked: I was able to use the Net just fine even though the DNS IP was the router IP (which should work anyway--don't know how this bug made it into the wild). But when I tried it again, even after the full restore, entering anything in Client ID caused the WiFi radio to turn off, not matter how a left the screen (even when pressing Menu button). Even after clearing out Client ID I had a heck of a time just getting WiFi to work again (stayed on EDGE no matter what). That's when I decided to throw in the towel and just use static IPs all the way around.
Back to range again... Although it's much better now than before it still doesn't seem to be as good as what I've been hearing. So I'm now on the fence about returning it. I should note that it's also much better at switching between WiFi and EDGE than it was prior. Before I wasn't able to use WiFi in my bedroom even though WiFi showed 1-2 bars. Instead of switching to EDGE it would just error out. Now it seems to work in my bedroom with only 1 WiFi bar. Moreover, when I walked out to the garage and lost WiFi, in the middle of doing a weather update, the iPhone seamlessly switched to EDGE. Before, at least in my bedroom, it wouldn't switch to EDGE unless I turned WiFi off completely.
For reference the laptop with great WiFi range is an HP Pavilion running Vista and it's only about two months old. Does anyone perhaps have a similar laptop and an iPhone to compare WiFi range?
If you've read this far, thank you.
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Mike
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