Let's concentrate on the access point first; there are many models that go by the name of Xtreme G, here's a list (also containing network cards and the like, you can ignore those):
http://www.ciao.co.uk/sr/q-D-Link+AirPlus+Xtreme+G
It would be useful if you could pick out your model. I guess it's safe to ignore the + variants, just going by the looks should be OK.
I found people with similar problems with BZFlag:
http://my.bzflag.org/bb/viewtopic.php?t=9717
One of them had Vista identified as the root of the problem (which we will ignore for now), one has a D-Link DI-604 he has to configure which could be similar to yours, and one reported that McAfee Security Center was blocking the traffic.
Do you have McAfee Security Center installed, or a similar full security suite like Norton? Sometimes, you get them as "free" gifts with a new PC or a contract with an ISP.
About UDP, it is fully explained here:
http://en.wikipedia.org/wiki/User_Datagram_Protocol
The short version is that there are two ways for applications to communicate over the internet, one is TCP, the other UDP, and routers and modems can treat the two ways separately. TCP is reliable, UDP is fast (has low latency/ping). Action oriented games are therefore wise to choose UPD for communication.
Other free games that use UDP and that you can therefore try out to test whether your problems are UDP specific or Armagetronad specific include:
The afforementioned BZFlag (apparently uses both TCP and UDP):
http://www.bzflag.org/
Nexuiz:
http://www.alientrap.org/nexuiz/
Tremulous:
http://www.tremulous.net/
And you can also try the DEFCON demo available here:
http://www.everybody-dies.com/
(it's a strategy game, why they picked UDP is a little mystery, but they did.)
Could you go and try a couple of these games?
For nitpickers, I did not forget about ICPM, but that can't really be used by generic applications.