Thanks to all. I finally got the wireless driver working. Im not sure why Globalscale points customers to a miss matched kernel and modules for the dreamplug. Also, the kernel in the same download area does not include the mwifiex_sdio. There is NO way to get the wifi working with what they give you.
Here is what I did to get it working in case anyone else is having the same issue.
1) Starting point for setting up the system:
http://downloadsnewit.co.uk/SD-images/Dreamplug/GuiPlug/v2.7/2) Downloaded a 3.1 kernel and the modules from sheeva. Im pretty sure there must be flavors of 2.6 that will also work in the same download area. This is not the OS, just the uImage and it kernel modules.
http://sheeva.with-linux.com/sheeva/3/3.1/3.1/3) Downloaded the firmware for the device and install under /lib/firmware:
https://launchpad.net/ubuntu/+source/linux-firmware/1.484) Reboot to load the new kernel
iwconfig
lo no wireless extensions.
eth0 no wireless extensions.
eth1 no wireless extensions.
mlan0 IEEE 802.11bgn ESSID:off/any
Mode:Managed Access Point: Not-Associated
Retry long limit:7 RTS thr:off Fragment thr:off
Encryption key:off
Power Management:on
pan0 no wireless extensions.