What web browser do you use? If you are using Firefox, you may want to try setting the connection so that it recognises 192.168.1.1 as the gateway, or (as it is on my Linux box) just put it as if there is a "direct connection" to the internet. Can you ping your gateway (I'm guessing you can as you can use up2date)? Can you ping google.com? If you can ping both of those, then your problem lies in your web browser, which we should be able to fix.
J_K9
P.S I hope you don't mind, but when I had Fedora Core 3 all it gave me was trouble. Switching to
Ubuntu made my world go round!
You could also try upgrading to Fedora Core 4 - I dont' know what that's like though.