Error code 0x80070035 - The network path was not found

We recently purchased a pair of new servers and installed Windows Web Server 2008 on them. During the initial setup of the servers I was able to copy data back and forth from the existing 2003 Web Edition server and our 2003 R2 file server. Once I had all the data I needed on one of the 2008 servers I put them both on the DMZ and configured them identically. When it was time to transfer the data (C:\inetpub), or even browse, from one server to the other I was unable
to do so. As I said before the servers are identical, the same users and shares on each, both are members of a workgroup called DMZ.

The error message:

Windows cannot access \\servername Check the spelling of the name. Otherwise, there might be a problem with your network. To try to identify and resolve network problems, click diagnose.

Details:
Error code 0x80070035 The network path was not found. If I click the Diagnose button it tells me it can't be repaired automatically. This happens in both directions, server1 to server2 and server2 to server1. Going from memory here is what I have tried so far making one change at a time, I think:

• I can ping each server from the other
• I can use webemtest to authenticate and connect from server1 to server2 and server2 to server1
• The Windows Firewall service has been disabled on both servers
• Disabled UAC, this has been turned back on at this point
• Set both servers to use LM & NTLM use NTLMv2 session security if negotiated
• The workgroup DMZ has been set to be a private network on both servers but changed back to public once and awhile, I think when other Network and
• Sharing Center features are turned on or off
• Network and Sharing Center - Network discovery, file sharing, and password protected sharing are all turned on, printer sharing is not because I am unable to turn it on. Each time I try it resets itself to off after I click apply (Web edition limitation no print services?).
• File and printer sharing is enabled on the NIC
• Each server has a static IP, these are different of course
• I added records to the host file since DNS isn't an option on Server 2008 Web Edition.

There may be more but I can't think of it right now. I tried everything I can think of short of calling Microsoft. Is this some type of limitation imposed by Microsoft? I know the web edition is supposed to be scaled down but seriously?! Do I need to run files to our web server with a USB stick every time I want to update a web page?

Thoughts?
Jeremy

The issue can be due to the antivirus in your system. You will require to disable it and test back. Sometime the antivirus blocks the incoming or outgoing connection and you face the error. Before doing any changes in the system the first thing you can do is turn off your antivirus for sometime and then test back. This would be enough to fix the issue. I got this error due to Norton Antivirus. It was configured on the server and when I try to access a shared folder it gave out the error. But after turning it on it was working fine. I am not sure about the exact cause.

The error indicates that your system is not able to get the right path of shared files on the network. For that there are few things you can try out. Go in Network Connections. In that you have to right click on the LAN connection you are using and then choose Properties for the same. Now in the existing window click on TCP/IP. And then click on Properties. A new window will appear. In that go in Advance sections and then click on WINS tab. You have to enable NetBIOS over TCP/IP from this section. Turn it on and then restart your pc an then test back.