First, 8500 = bad; 1/3rd as powerful as an 8800. Will be MUCH MUCH worse if you use more than 1 monitor, too.
Second, the Processor looks to be a dual-core, if it's multicore at all...I know mine's a 4200+, ought to be enough to dualbox with though, I 3boxed fine at max settings and am 5boxing with lowered settings.
Other than that I don't see much issue, beyond network-related ones, kedash's link will help determine thatCould be a firewall, bad connection, bad hop to servers
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