Case 1: The XP computer doesn't have option to select WPA2.

Case 2: You can receive strong wireless signal but not connection.

Resolution: Downtown this hotfix: Description of the Wireless Client Update for Windows XP with Service Pack 2
http://support.microsoft.com/kb/917021. Note: This update replaces hotfix 893357.

The Wi-Fi Protected Access 2 (WPA2)/Wireless Provisioning Services Information Element (WPS IE) update for Windows XP with Service Pack 2 is available.
http://support.microsoft.com/kb/893357/en-us

Case 3: You have a USB-based wireless connection enabled on a computer that is running  Windows XP or Windows Vista. Even when there are five or more wireless network connections available, the Wireless Network Connection dialog box shows that there are a maximum of four wireless network connections available.

Resolution: download and install this hotfix: You see only four available wireless network connections when you use a USB-based wireless network adapter in Windows XP or in Windows Vista
http://support.microsoft.com/kb/927546

Case 4: After you install Microsoft Windows XP Service Pack 2 (SP2), your Protected Extensible Authentication Protocol (PEAP) connection does not authenticate successfully. This failure occurs during an authentication attempt to a third-party Remote Authentication Dial-In User Service (RADIUS) server.

Resolution: Download and install this hotfix: PEAP authentication is not successful when you connect to a third-party RADIUS server.
http://support.microsoft.com/kb/885453

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