My Book Live killing video, slow internet

I’ve been using this drive for about a month now. THe problem I am seeing is that whenever I stream video, the video will pause at one second intervals and never restart again. I’ve also had this happen whenever I have tried to play a file that was stored locally on the PC itself. It doesn’t happen all the time but happens very frequently. I’ve tried fixing Windows, but have concluded that Windows is not broken ( at least in this instance). I had the same problem on another machine running Ubuntu 11.0 so that ruled out a broken PC. 

THen last night my wife told me that he internet connection was really slow, and that it had been ever since I connected the drive. So I powered it down last night, and to my surprise the video problem has vanished. I’ve also noticed that the interent speed is noticeably faster now. 

I updated the firmware, software, even changed out the network compnents to all gigabit. It’s a shame because it kind of defeats the purpose of setting up this drive to do automaic back ups but I have to leave it off now. I would have just bought usb drive for each PC in the house and not had this problem. Oh well hopefully someone form WD can figure this out and tell me how to fix it. 

BTW…None of the PC’s in the house back up/use the drive until midnight, so it’s not a matter of the network being overloaded. 

I should also add that I am on a DSL connection, runs a very steady and consistant 3.0 down ,75 up.