I have been having this issue with my iMac for some considerable time now and changing from WPA/WPA2 to WPA2 did not help my situation.
However, changing my 5GHz channel from 36 to 48 on my Airport Extreme DOES seem to have resolved the issue, and I am no longer experiencing ANY dropouts and downloads are performing consistently at constant speeds since the change.
I was also leaning towards thinking that I had a hardware issue with my wi-fi card, considering that all my other Apple Devices were not experiencing ANY issues including MBP, iPad, iPhones and Apple TV, however this channel change seems to have resolved the issues for my iMac (27-inch, Mid 2011) and I think that users would be well advised to attempt any changes one at a time to see what helps their situation.
Believe me I know how frustrating this issue can be, it has been driving me absolutely mad for quite some time, so good luck to all of you.