Sharepoint 2010 - Site Prompts for credentials when opened in explorer view

Came accross an issue wherein the user is working on Sharepoint Server 2010, Ad Domain users . When the user tries to browse the site it works fine without prompting for any credentials . However when they are on a Document Library and change the view to Explorer . They are prompted for login . if the user types the credentials it goes through ( Until they reboot the machine )

OS - Windows 7 , Vista

To resolve this issue ;

First check your Internet explorer settings .

Check whether the site is added to the trusted file location .

check whether the option Automatic logon using the current name and passowrd is selected . and then proceed .

You can download the hot fix from : http://support.microsoft.com/kb/943280

Note This problem does not occur on a Windows XP-based computer

The fix is included in Windows 7. To fix the issue, you only need to create the registry item below

If Basic authentication or Digest authentication is implemented in the network, hotfix 943280 cannot change this behavior. This behavior is by design in Basic authentication mode and in Digest authentication mode.

IIS does not support Windows authentication over the Internet. Therefore, this hotfix applies only to the Intranet scenarios.

You have to restart the computer after you apply this

After you apply this hotfix, you have to create a registry entry. To do this, follow these steps:

1. Click Start, type regedit in the Start Search box, and then press ENTER.
2. Locate and then click the following registry subkey:
   HKEY_LOCAL_MACHINE\SYSTEM\CurrentControlSet\Services\WebClient\Parameters
3. On the Edit menu, point to New, and then click Multi-String Value.
4. Type AuthForwardServerList, and then press ENTER.
5. On the Edit menu, click Modify.
6. In the Value data box, type the URL of the server that hosts the Web share, and then click OK.
   
   Note You can also type a list of URLs in the Value data box. For more information, see the "Sample URL list" section in this article.
7. Exit Registry Editor.

Note You have to restart the WebClient service after you modify the registry.