You should be able to connect form the client machine...try hitting the workspace web site. If it doesn’t work form there. Try hitting it form the server where the workspace is hosted. If it works form the server where it is hosted then you have authentication problems.
On the client machine make sure the site is added under 'Trusted Sites' on your remote machine and set the Security levels for this zone to LOW. Open Custom level and go right down to the bottom, under User Authentication make sure the radio button is in the “Automatically logon with current user..”. Also, under Advanced Internet Options, make sure 'Enable Integrated Windows Authentication (requires restart)' is checked.
Vernon