Very slow wifi, a lot of timeouts

hello,i have read a lot about the wifi issues on some usb dongles but none of the suggested solution is helpful in my case.
I’m running a RP2 with OSMC December version.
HDMI + WIFI USB dongle, thats all thats attached to the pi which is powered by a 5V 2 mA charger.
THe usb dongle is this one: USB: 079B:0062 Sagem XG-76NA 802.11bg which is running zd1211rw - Debian Wiki same as Artheros ar5007ug. i dunno how to check if i’m running the latest available firmware for it
my router is a dual n BAND running DD WRT software.
RSP2 is on the 2.4ghz band, it detects it just fine, however the connection drops a lot, even putty times out

iwconfig wlan0 IEEE 802.11bg ESSID:"ASUS" Mode:Managed Frequency:2.417 GHz Access Point: 00:0C:43:30:92:18 Bit Rate=6 Mb/s Tx-Power=20 dBm Retry short limit:7 RTS thr:off Fragment thr:off Power Management:off Link Quality=82/100 Signal level=82/100 Rx invalid nwid:0 Rx invalid crypt:0 Rx invalid frag:0 Tx excessive retries:9 Invalid misc:73 Missed beacon:0
dunno why its showing 6mb/s when it’s max speed is 54mb/s
i even did a sudo iwconfig wlan0 rate 54M
but after a rebbot it goes lower.

wlan0 Link encap:Ethernet HWaddr 00:19:70:2c:8e:28 inet addr: Bcast: Mask: UP BROADCAST RUNNING MULTICAST DYNAMIC MTU:1500 Metric:1 RX packets:3928 errors:0 dropped:104 overruns:0 frame:0 TX packets:3774 errors:0 dropped:0 overruns:0 carrier:0 collisions:0 txqueuelen:1000 RX bytes:3581459 (3.4 MiB) TX bytes:809853 (790.8 KiB)
i’m quite lost at this point

IMHO you’re wasting your time with an adaptor that is only b/g compatible - it’s probably about 10 years old and won’t be well supported, and even if it was working correctly it’s going to be too slow to be useful for video streaming.

At a g wireless rate of 54Mbps the most actual throughput you could expect is 20Mbps under absolutely ideal conditions.

802.11n really is the minimum requirement to be usable.

guess you are right, my router is dual band with a combined 750 MB so it makes sense to have at least a n stick. is 5Ghz band supported?

With the right dual band adaptor, 5Ghz is supported.