My roommate and I used it with Warcraft III all the time. Within a LAN. Both of us (Win2k <-> WinXP) both had nothing but the TCP/IP protocol loaded. You can resolve NetBIOS names without NetBIOS.
The Major, can you perform this operation without using 2 NICs and a crossed UTP cable? I was thinking of suggesting running a USB crossover cable between the two computers for sharing.