DirectX 9.0 Directplay Problem

I am having a problem with creating a DirectPlay session.

I am running DirectX 9.0.c running on a new Dell 2400 (512MB RAM). Below
is the dwdiag info:
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System Information
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Time of this report: 1/20/2005, 17:26:15
Machine name: SYSTEM2400
Operating System: Windows XP Professional (5.1, Build 2600) Service Pack
2 (2600.xpsp_sp2_rtm.040803-2158)
Language: English (Regional Setting: English)
System Manufacturer: Dell Computer Corporation
System Model: Dimension 2400
BIOS: Phoenix ROM BIOS PLUS Version 1.10 A05
Processor: Intel(R) Pentium(R) 4 CPU 2.80GHz
Memory: 510MB RAM
Page File: 192MB used, 1055MB available
Windows Dir: C:\WINDOWS
DirectX Version: DirectX 9.0c (4.09.0000.0904)
DX Setup Parameters: Not found
DxDiag Version: 5.03.2600.2180 32bit Unicode

The specific problem is in testing DirectPlay over the network. I am unable
to create a direct play session. The error I receive is:

"Failure at Step 9 (Creating Session) HRESULT = 0x80158185 (error code)

After this message, I get a windows dialog that states that "system virtual
memory is low".