How To Connect Xbox and Xbox 360 Game Consoles to a Wireless Router
Xbox game consoles can be connected wirelessly to a WiFi network router for access to the Internet and Xbox Live. Follow these instructions to set up the Xbox or Xbox 360 connections to a wireless home network. These instructions assume the wireless router is already installed with a working Internet connection.
Here's How:
1 Connect the appropriate wireless network adapter to the console. On the Xbox, a Wi-Fi adapter that connects to the Ethernet port (sometimes also called a wireless network bridge) must be used. On the Xbox 360, a Wi-Fi adapter that connects to a USB port may alternatively be used.
2 Turn on the Xbox console and navigate to the wireless settings screen. On the Xbox, the menu path is "Settings -> Network Settings -> Advanced -> Wireless -> Settings" On the Xbox 360, the menu path is "System -> Network Settings -> Edit Settings."
3 Set the SSID (network name) on the Xbox to match that of the wireless router. If your wireless router has enabled SSID broadcast, the SSID name should appear pre-selected on the Xbox display. Otherwise, select the "Specify Unlisted Network" option and enter the SSID there.
4 Specify "Infrastructure" as the Network Mode. Infrastructure is the mode used by wireless routers.
5 Set the Security Type to match that of the wireless router. If the wireless router uses WEP encryption, set up this option on the Xbox or Xbox 360. If the wireless router uses WPA encryption, set up this same option on the Xbox 360.using the same encryption key as on the routerBecause the Xbox does not support WPA encryption, it cannot connect to a wireless router with WPA enabled; you must disable WPA encryption on the router to use it with an Xbox.
6 Save your settings and verify the network is functional. On the Xbox, the Wireless Status screen will display whether a connection has successfully been made with the wireless router. The Connect Status screeen on Xbox will display whether a connection has successfully been made through the Internet to Xbox Live. On the Xbox 360, use the "Test Xbox Live Connection" option instead.

- srikanth dhanwada