Hi, I have been told by another TSE here within Symantec that removing the LSP hook for our software appears to have solved the issue. This uses Layered Service Provider to bind itself to the Network stack on Windows. if you dont use POP/IMAP/STMP or AOL encryption with Symantec Encryption Desktop (previously PGP Desktop) you can safely disable this driver. See the following KB on editing MSI options to remove components at install time:
http://www.symantec.com/docs/HOWTO84112
In your case, to disable LSP at least you could specify something like:
"c:/path/to/msi/folder/pgpdesktop.msi /i PGP_INSTALL_LSP=0" at a run line
This will prompt you, next, next, finish through the installer and then reboot and the LSP driver is gone.
You can also run a utility which cleans up the LSP stack and have it remove our LSP driver as well.
if you use SMTP/POP/IMAP then we will probably have to investigate this problem further to find a root cause and hopefully solve the issue in a future product release :)