It is related with DNS resolving I think. Could you check whether you can tracert and ping to www.yahoo.com or any other website and see where it stops getting 'request time out"
As lxskllr suggested, you should try increasing page file size from "Virtual memory settings".
Regarding svchost : this service is used by several programs and services so it is difficult to identify why svchost is using so much RAM. You can try disabling services which you won't need...
Acronis True Image is my favorite tool. I tend to crash my PC more frequently because I keep installing various softwares, utilities on my pc. Go for it Protech
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