I had this same problem and solved it by loading a small app.

see details on my blog 
http://www.socialpoints.com/mangoblog/post.cfm/htc-magic-wifi-connection-hanging-solved

hope that helps you guys

On Oct 13, 8:44 pm, jnie <[email protected]> wrote:
> I'm in DK, having the same problems with a Zyxel P-2602HW-D1A, I
> downloaded a Zynos firmware from this site:ftp://ftp.zyxel.dk/P-2602HWL-D1A/
> and the problem was solved. But my Voip stopped connecting, so back to
> the Telenor firmware, I'm still not able to connect.
>
> For the Zyxel that I have it is a Zynos firmware issue, no doubt about
> that
>
> Jan.
>
> On Aug 28, 3:46 pm, "eusoumais.eu" <[email protected]> wrote:
>
> > Hi,
>
> > I'm having the same problem.
> > I've already sent my first HTC Magic to be repaired, but I received a
> > new one with the same issue.
> > My router is a Zyxel P-660HW-D1 (802.11g).
> > I'm very disappointed! :-(
>
> > On Jul 6, 1:42 pm, yozza <[email protected]> wrote:
>
> > > hi!
>
> > > thanks for your reply! im also having a similar problem! seems like
> > > many people are :-(
>
> > > i liked your idea re draft N / MIMO. seemed reasonable.. but i tried
> > > your advice of switching to g only and no luck :-(
>
> > > has anyone had any luck resolving this issue??
>
> > > my phone connects everywhere fine except at this place i'm staying at
> > > now that hsa a draft N belkin router... not the router though... im
> > > typing this on it :-)
>
> > > cheers all!
>
> > > On Jun 17, 9:36 am, "L!TH!UM" <[email protected]> wrote:
>
> > > > Thos of you experiencing problems with your routers, are you using a
> > > > router with MIMO technology or an 802.11N router?  I had problems with
> > > > an Airlink101 Router which had the MIMO technology in it and although
> > > > my phone showed it was connected, i did not get any data to go
> > > > through.  I ended up getting a second router that was 802.11G and
> > > > without the MIMO technology and that cleared it up.  I had read on a
> > > > thread elsewhere that the HTC phones have problems with the MIMO
> > > > routers.  I also read that a solution is to put the router in wireless
> > > > G-mode ONLY.  Guess I should try that at home and see if the phone
> > > > then works with the Airlink router.
>
> > > > On Jun 15, 10:08 pm, Cintra <[email protected]> wrote:
>
> > > > > One of the easiest ways I have found for transferring files between
> > > > > Magic and Mac is Swiftp on Magic and Cyberduck on Mac.. its dead
> > > > > simple to set up and quite an acceptable transfer rate :)
>
> > > > > On May 8, 4:12 pm, cheekychops <[email protected]> wrote:
>
> > > > > > Bluetooth doesn't work either. It pairs with my iMac but doesn't
> > > > > > connect. I've never had a problem with bluetooth devices connecting 
> > > > > > to
> > > > > > my Mac before so its not that.
>
> > > > > > I'm thinking this phone really is a lemon and it has to go back.- 
> > > > > > Hide quoted text -
>
> > > > > - Show quoted text -

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