Avira Adaware and Svchost.exe

Ok, I've had 7x64 ultimate for about 8 months. its been giving me so much troubles that i decided to go out today and buy x86 ultimate since my network card wouldnt work with linux and didn't want to change my HW (its permanently installed in my ceiling and its easier to change OS) anyways here's the problem

svchost.exe hits 50% and locks out all network activity, it has to constantly be killed and you cant get it to function as it should.

I I went and wiped one of my drives, installed x86 because some ppl told me it might be an incompatability with my graphics card (which i replaced my 8600 with a 260) or manufacturer in x64.

So today I am installing my software again, I get adaware premium, and avast security suite installed and viola! the svchost.exe problem is back

Now aside from the obvious money i blew on x86 and the fact that i have been dealing with this problem for months. This has to be able to be solved.. this pc is 100% fresh nothing was on the drive, so i cant be the only one with this or must be the only one that hasn't figured it out yet.

Let me know what you guys want me to post i'm happy to help you help me.

I just beg someone to put this problem out of its misery.

I I went and wiped one of my drives, installed x86 because some ppl told me it might be an incompatability with my graphics card (which i replaced my 8600 with a 260) or manufacturer in x64.

There is no compatibility problem with Nvidia 8600 with Windows 7 x64

So today I am installing my software again, I get adaware premium, and avast security suite installed and viola! the svchost.exe problem is back

Running two Antivirus suites is NOT recommended as it might cause instability problems.

Uninstall both and use MSE instead
http://www.microsoft.com/security_essentials/

bundles of sunshine arent yall...

trying that now hopefully its taken care of.

and obviously no i didnt if i did i wouldnt have spent the cash for the x86

both uninstalled, problem still exists.. the only other common threads between the new setup and the old setup:

using the mvps hosts file to block ads etc
microsoft life cams (2 different versions my old one broke months ago just bought the studio)
and peerblock which isnt enabled as a service and isnt running all the time.

svchost.exe peggs the cpu when you make internet requests so its definately network related, so that makes me lean to the mvps hosts, but there surely has to be something to that.. it cant be that its the hosts file...

I just set my hosts file back to 100% default. 0 svchost.exe problems.....

gotta have something to block all those ads and spam out..