THANK YOU X-S Freak! That tutorial was awesome. Thank you for adding the troubleshooting details. I had been hung up on an incorrect subnet and didn't know how to handle it (linksys wireless routers assign 192.168.1.x instead of 192.168.0.x). As for one guy having the problem of not having a video out cable attached, it is vital. You'll notice the on light flashes orange instead of solid green. I had that problem too because my TV is in another room and I brought the XBOX in for a trial without the bridge using cables to connect. You don't have to have the TV connected, but you do have to have the cables connected.
I know other people have done it, but no one specifically tells you what to do and what equipment. So for the record, I networked my PC to my 802.11b Linksys wireless router (via cat5 cable, of course) and then used the Linksys wireless bridge (802.11b also) and attached the XBOX to the bridge. I used the directions provided with the bridge for configuration of the bridge. Then, I connected the XBOX to my router via cable using your directions to make sure everything was set up properly before trying it on the wireless network. I have an internet connection using DHCP, but assigned a static IP for the XBOX per X-S Freaks directions. Once I got it working via cables, you must unplug the xbox and restart the PC. Then plug in the bridge and make sure you see two green lights. When you plug in the xbox and turn it on, you should then see three green lights. If not, check your bridge configuration or possibly you have bad reception. I was really surprised at how moving my bridge two feet made all the difference. Originally, I got it working and thought it was great, but it was sometimes working and sometimes not. I couldn't figure it out. It was simply bad reception. Now I get fast transfers and works 100% of the time. I think big TV's can screw with the reception, so try moving a few more feet away from the TV.