In normal mode, safe mode, or safe mode + networking, update this wireless driver from Intel:
Intel® PROSet/Wireless Software — Intel® PROSet/ Wireless Software Downloads
1: kd> lmvm NETw5v32
start end module name
98a1b000 98e2e000 NETw5v32 (deferred)
Image path: \SystemRoot\system32\DRIVERS\NETw5v32.sys
Image name: NETw5v32.sys
Timestamp: Fri May 29 01:41:24 2009 (4A1F7584)
Translations: 0000.04b0 0000.04e4 0409.04b0 0409.04e4
Intel's site is completely messed for drivers.
If those don't work out, try this: Download Intel PRO/Wireless and WiFi Link Drivers 16.1.5 Win7 32-bit - FileHippo.com
As you can see, the wireless is sharing the same IRQ with the video:
The wireless driver you have now is old, and is likely bringing down the video with it.
IRQ 5 ATI Mobility Radeon HD 3400 Series
IRQ 5 Intel(R) Wireless WiFi Link 4965AGN