Network Neighborhood browsing can use several different protocols. If both systems have IP, it'll use NBT (NetBIOS over TCP/IP) broadcasts to communicate Network Neighborhood information. It doesn't matter whether you use DHCP or manually assigned addresses, as long as the systems can communicate with each other and are in the same broadcast domain (in other words, if they can ping each other and they're on the same LAN). Network Neighborhood never worked especially well. There's a good article on troubleshooting Network Neighborhood problems.
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