I have 3 XP Pro SP3 w/IE7 computers that have the Norton Safety Monitor on them (onlinefamily.norton.com), and that had Kaspersky on them. I uninstalled kaspersky, and installed Avast, but on 2 of the three I would get an error message when I tried to access any web site. I had no issues with ping, ftp, etc.
From another message on the forum, I saw a mention of issues with incomplete uninstalls of Norton products. Since I had Norton back a few years, I decided to use the Norton removal tool on one of the problem computers. That required that Norton Safety Monitor (NSM) be uninstalled first.
After that completed, I was able to access the internet. I reinstalled Norton Safety Monitor, and after rebooting, I had the same problem back.
I did determine that terminating Web Shield, but leaving everything else in Avast enabled fixed the issue as well. So it seems that Avast without NSM works, and Avast without Web Shield plus NSM works. Any idea why NSM+Web shield would be a problem?
BTW, I have Avast and NSM on 2 Vista boxes (one w/IE8, one with IE7) as well without issues. And I am not sure why the one XP Pro computer has no issues.