WDTV Live + Windows 7 "Invalid Username and Password. Please Try Again Later"

It’s not just WDTV that has the issue.   Microsoft changed the authentication mechanism for network shares as part of the Live structure.  It’s affected Apple products, Linux servers, Syabas, and others.

It’s impossible to point a finger.   It IS MICROSOFT’S stuff, so if they want to change it, they can.   I don’t think they claim that their sharing components are fully SMB / CIFS compliant…

Search with google the phrase > “sign-in assistant” broken shares < and you’ll get thousands of hits, not just WDTV…