Update on issue based on trip to Genius Bar. Long and rant-ish...
Finally took my computer in to the "Genius Bar" for this. What a terrible experience. He was looking at his watch the whole time and pouting about this taking more than 15 minutes. In short don't bother taking it in.
1. Their in house server based diagnostic system did not work.
2. Despite for most having the problem disappear at Apple, mine got worse, no WiFi whatsoever.
3. They tried to connect with a USB to ethernet adapter and that did not work either.
4. "We can't be repsonsible for all of your apps working". Like Parallels is causing the entire problem...
5. They can run a 24 hour diagnostic and wipe the system with a fresh OS. Beyond that they could (only if hardare problems identified) replace the WiFi card or main logic board.
6. They simply will not admit (probably as per strict advise from a corporate lawyer down through the ranks at Apple Stores) that there may just be a serious OS or software driver issue.
7. Do not EVER tell them you used kext to downgrade your WiFI drivers (as was reported perhaps working for some here in this thread). That basically threatens them with you knowing a thing or two, maybe even more than them. This annoying little cuss even had the audactiy to say "Macs don't have drivers that a Windows thing". Ugh. However, once you bring thus up they then disavow any responsbility for ANYTHING going on with the computer.
I've tried about every fix here on the forum. My wireless performance definitely comes and goes in many facets, ability to stay connected, automatic reconnection on wake and speed/performance of connection . However, its speed in my internal network using iTunes through my NAS (for both the media and iTunes database) is positively unusable due to slow network speed.
I'm anxiously awaiting 10.7.2 which should be out pretty soon. If that doesn't fix anything I might push Apple VERY hard for a swap to a regular Macbook (which since I am past 14 days they already said no way). These problems along with the ocassional refusal to wake from sleep and inability to connect to my Android phone over adb (likely a USB flaw in Lion...) are making this a pretty darn miserable computer to own. This is a huge contrast to the vast majoirty of Apple computers I have owned. I guess I (we) really should have known better. More or less a new hardware release (well new CPU only) along with a new OS at rev 0 is just asking for trouble.
Best of luck to all those suffering along with me.