IIS 7 NTLM Authentication Across Domains

Hello -

I have a SharePoint 2010 server joined to the "DOMAIN1" domain, and I have users attempting to access SharePoint who's PC's are joined to the "DOMAIN2" domain. There is a two-way trust between the domains, and SharePoint is able to authenticate users in either domain. We are using NTLM authentication within IIS 7 on the SharePoint (Server 2008) servers, however, when clients attempt to connect they are getting prompted for authentication credentials.

I believe that the NTLM negotiation is failing because the challenge from the SharePoint servers to the client browser are specifying "DOMAIN1" domain while the browser is specifying the "DOMAIN2" domain, but that's about as far as I've gotten.

Has anyone run into this before? Suggestions??

Thanks!

Darren

Darren