error 3906

My apple TV worked flawlessly for about 2 weeks after I bought it and now it does not connect to the wifi. It has me really frustrated as I have read and tried many things to get it to work. The problem is that it shows the my wifi network when I try to configure, but it will not connect giving me error 3906.

This is what I have tried:

1. Resetting router/airport extreme. I unplugged the router, reset etc. Same with the airport extreme.

2. Reset, restarted, unplugged the ATV and went through all that.

3. It cannot be interference. I ran istumbler and showed no interference on the wifi channel I was using. I changed channels just out of curisoty also. No dice.

I moved the whole router/ extreme within 5 feet of the Apple TV unobstructed and it still shows no signal.

4. I used my macbook pro to broadcast a wifi network. My iphone/ ipad etc find and connect to the macbook pro network with no problem. The ATV will not show the network. Even with the computer within 2 feet of it, It only shows the house network which gives me error 3906 when I try to connect.

5. I made sure the date on the ATV is correct (since I read somewhere that it could cause an issue)

6. I made sure it was not upside down...

7. I checked the cables to the TV because I read somewhere that may be the issue.

Any ideas?