Are you running any of Symantec's (Norton) or McAfee's Internet security products or anything similar, or an antivirus/antispyware application? Some such utilities treat an upgrade to iTunes as a new application and can block the application from connecting. So you have to go in and reset the utility to allow iTunes. The same thing can happen if you upgrade the security product (this has particularly been a problem with recent McAfee upgrades).
Check the settings for your utility. If iTunes is still listed, remove and re-enable the exception for iTunes. Consult your utility's documentation for the appropriate procedure. If you have Norton, you can find instructions for that utility on
Symantec's web page for iTunes. You may also need to check the built-in Windows firewall as well.
Hope this helps.