On a computer, when Media Sensing is enabled, Microsoft Windows detects a "link state" when the physical network media is connected on the network and a "down state" when the connection is lost. When the "down state" is detected, Windows removes all bound protocols from the network adapter resulting in a stoppage of all network traffic (regardless if the traffic is only intra-PC). This stoppage causes the CygNet services and clients on the host server to fail because the ARS binds to the network adapter. Once the link state is reestablished traffic resumes. However, during the "down state" it is desirable for CygNet to continue to operate. By disabling Media Sense, Windows will not detect the "down state" and CygNet traffic (intra-PC) will not be interrupted.
For more information regarding disabling Media Sensing, refer to and search the Microsoft website for the article How to disable the Media Sensing feature for TCP/IP in Windows.