strollin, I just tried to set up a virtual access point or hosted network on my SP3 and cannot get it to work, either. When I attempt to start the hosted network, I get the following messages: The hosted network couldn't be started. A device attached to the system is not functioning. I scoured the Internet and the only fix that's worked for some people is to uninstall and re-install the WiFi adapter. I tried this, also, with no success. So, for the benefit of all, I made the dreaded call to Surface support to see what could be done. After the usual useless resets and other basic troubleshooting were needlessly completed, I was eventually transferred to a technician that knew what she was talking about. She tried to set up a hosted network on her SP3 and ran into the same error message. Nothing she could think of to try made any difference, so there appears to be some sort of compatibility issue with hosted networks and the SP3. I suspect it is a driver problem, but only time will tell. She will be reporting the case to the next level of Surface support for their evaluation. I will keep everyone posted as I hear back from Microsoft about this issue. However, for now, it appears that we're dead in the water.