Vista Network and Sharing Center Problem

I am trying to set up a network betwen my Vista laptop and my XP desktop.

I have the desktop hooked to a linksys router with a traditional wire.
I have the laptop hooked to the linksys router wirelesslessly.

Both machines can access local and internet.

Wireless network is secured.

...
When I have the Network and Sharing center window open I see the simple graphical representation of my network connection. Below the graphic I see the name of the network I am connected to. However, I do not see any devices. Then I connect and see the devices. Then I disconnect and don't see any devices. It keeps cycling endlessly.

I am really confused as all I want to do is access some files on the desktop from my laptop and the network keeps cycling.

I've attached some screen shots. Hope they help.