I thought I'd write some kind of guide on how I set up my system for syncing and internet access. Your system is probably different because of different network cards and drivers. Nevertheless, I hope you find something useful here. Comments, corrections, etc. welcomed.
1. EquipmentsAs indicated in the title, I want to sync with my desktop and also share Internet access from there. The network consists of just two WLAN adapters working in ad-hoc mode because this is the cheapest way to go wireless. I use the built-in Internet Connection Sharing (ICS) in Windows XP.
2. Desktop


A few things to know about Windows XP ICS. Once activated, the wireless adapter will be set to a static IP address of 192.168.0.1; other clients (Pocket PC in this case) will be given an IP address by the DHCP server on the desktop.
On my system, not long after boot-up, the Wireless Network Connection will say "Connected to:" even though there's no other clients or access points around. In this state it is very easy for other clients to actually establish a connection and get an IP address. Therefore I always wait until my desktop say "Connected to:" before I try to connect from the Pocket PC.

The above behaviour might be a peculiarity of this driver and as I say, your system is probably different. (Indeed, an updated driver for the adapter seems to make this behaviour go away.) Also, I think the dialog box to add new wireless network is a little different on system with SP1.
3. Pocket PC



That should be all for the configuration. Remember that you have to create partnership with the desktop via wired method before you can sync wirelessly.
4. Miscellaneous QuestionsQ: Can I access shared folders on network?
A: Yes, Pocket PC 2002 devices can access shared folder on desktop. There is no provision for enabling shared folder on the device, though. NetRunner is one of the programs that can help you to enable the Network folder and do the mapping/unmapping of shared folder easily.
This brings us to the next related questions...
Q: Can Bluetooth do the same? Should I buy Bluetooth adapter or 802.11b adapter?
A: Syncing and Internet sharing is of course possible. Internet sharing is done differently from 802.11b. But I do not know whether it is possible to access shared folders on desktop.
As to the question of choosing Bluetooth or 802.11b adapter, it depends on the usage of the device, in my opinion. For syncing and Internet sharing, Bluetooth is probably enough. But if you intend to access shared folder or do general networking, 802.11b is probably a better choice.
Range could be another consideration. 802.11b adapters usually have longer range. Some class 1 Bluetooth transmitters might match the range of 802.11b transmitters, but this is just considering the adapters, i.e. using 802.11b in ad-hoc mode. With access points, the range of the network is usually increased because access points are not designed with stringent power constraints in mind. Therefore they can afford higher power consumption in return for better range. Choosing between 802.11b or Bluetooth access point is simple - today, 802.11b access point can be had for a much lower price compared to Bluetooth access point.
Q: "Internet sharing is done differently from 802.11b." What do you mean?
A: I mean you don't have to use ICS in Windows XP. Ok, you can use it that way as well, but another way would be to use Passthrough in ActiveSync. Passthrough let a device that is docked or connected to the ActiveSync use the Internet connection of the host computer. I mentioned this point to take us to the next question...
Q: Can I use Passthrough when syncing using wireless LAN (802.11b)?
A: I've seen a number of people asking this. The answer is no. I think the logic behind this is that if you are using network sync, you should be able to directly access the Internet without going through the desktop. If you are unable to access the Internet directly, then it is the job of a wireless router or ICS to provide this function, not ActiveSync. Passthrough works with Bluetooth sync that uses virtual COM port. To ActiveSync it should look just like a wired sync.