Try these troubleshooting steps:
Search again. Click Retry. The HP Jetdirect wireless print server takes a couple of minutes to initialize itself after power is applied. If you turned on the printer or plugged in the print server just before searching, the print server may not have been ready.
Make sure that the printer and print server are turned on.
Verify that your computer's wireless settings are correct. These should be set for communicating with the wireless printer:
(If the computer is still set for communicating on its original wireless network, the Wizard will not be able to find a printer on the "hpsetup" network.)
Check if you have a firewall enabled on your computer. If a firewall has been enabled on your computer, this may be preventing the installer from detecting the printer. Temporarily disable the firewall on your computer before continuing with the installation. If you have a firewall enabled (such as ZoneAlarm©, BlackICE©, etc.), see your firewall vendor’s documentation for instructions on how to disable the firewall. HP strongly recommends that the following be installed on your computer: (1) A hardware device that provides firewall protection between the Internet and your computer, such as a gateway and (2) an up-to-date virus detection program.
Verify that the print server is actually set to its factory default settings. If the print server was previously configured, it may need to be reset to the factory default settings. You can check the print server's configuration by printing a Jetdirect configuration page. (See the print server's documentation for instructions on printing a configuration page. Make sure you are printing a configuration page for the print server and not for the printer. Note that for many print servers, you can print a configuration page by pressing the Test button on the back of the print server.)
The 802.11 Wireless section of the Jetdirect configuration page will show the print server's wireless configuration settings. If you need to reset the print server to its factory default settings, see the section of the print server documentation on "resetting to factory defaults" or "cold reset". (Note that for many print servers you can reset to factory defaults by holding in the Test button on the back of the print server while applying power to the print server; if the print server takes its power from the printer, you may have to unplug the printer and plug it in again, instead of merely switching the printer off and on, as many printers maintain standby power when switched off.)
Move the printer and the computer closer together. If the distance between your computer and the printer is significant, try reducing the distance. If possible, provide a clear path between the computer and print server, and minimize sources of radio interference. Click Retry to search again.