accessing internet for updates

Are you using a proxy? If so, these programs will tend to use the proxy settings configured in the default browser, or can be configured independently.

It may be a DNS problem... see if you can access he website that the anti-virus program is going to with the browser. Also see of you can ping the site.

Some clever malware/viruses can mess with your local host file which can cause odd things to happen. Inspect your local host file.

there should be an option to use Internet proxies

In addition to the possibility you have a proxy I have noticed some of the Spy Bot Search & Destroy servers do not always connect and give an error. So I started the habit of always choosing the two Safer Networking Europe servers.
You might also try unchecking the box Automatically Detect Settings" in IE Options\Connections\LAN Settings if you are on a LAN. Of course this may not allow you on the Internet, but worth a try.

If you have a software firewall installed, it may be blocking internet access for certain programs including those antivirus programs. With a software firewall you normally have to give "permission" to allow a program to access the internet and you may have accidently clicked on "deny" when initially prompted which would block that program from accessing the internet.

found out it was th 2GH Trojan....cured by shutting down restore ...running AV programs and restarting restore....case closed....appreciate all the replies....