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Here is additional information I found that seems to support what Gelo and Virge discovered:
"The device is set for DHCP, but it's actually supposed to be the DHCP
server, not a client, in this connection. Somehow, you've changed that
setting for the USB connection from static IP address (where you fix the
address for the device), to server assigned IP address, where it goes
looking for a DHCP server. This connection might be called something like
Remote-NDIS Host in the Network Adapters control panel applet. The IP
should be set to 169.254.2.1 and the subnet mask to 255.255.255.0. Leave
the default gateway blank.
Paul G. Tobey"
I made this change and it appears to have solved my problem with this message.
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