Xbox 360 as a wireless media center extender!?

I have a Windows XP media center edition 2005 pc (update rollup 2) connected to my wireless g network. My xbox 360 is also connected to this same network. My computer has all the software it needs, and it sees the xbox. but when i click on the media center button in the xbox guide, it flashes the 8 digit code but then tries to automatically set it up while my computer is asking for the code. it is very frustrating. Anyone have any ideas on how to make this work.

NOTE: I dont care about quality, i just want it to work. so please dont tell me to buy a new router or hardwire to the current router. the router is in my moms office. i just want to no if my current setup will work.

Also, i have done this before by hooking the xbox to the computer via ethernet, but with the xbox's wireless adapter plugged in, the ethernet jack is disabled.