Yeah, I'm starting to think that maybe it is game lag. I have a 256mb Ati Radeaon and 896 mb of ram which seems enough, but my cpu is 1.10ghz and I'm running on window vista. I dont know about my ping but I know that during single and multi player my fps is around 25. And when I tried what GAVD suggested and I noticed that when adding more than 3 players my fps decreases by 1/2 but could still play normally up until I put 7 AI into the race that's when the lag got heavy; this is somehow the same when I play multiplayer.