Try the following commands and see if you can log into the database.
$ cat /etc/mythtv/mysql.txt
$ mysql -umythtv -p(password from the above output) -h dcerouter mythconverg
This command worked perfectly, I was able to get into the database without a problem. I still had the same issue connecting after verifying that the passwords were again, correct.
If you are still denied access then you may need to allow additional access. THis is from the mythtv documentation.
$ mysql -u root mythconverg
$ mysql> grant all on mythconverg.* to mythtv@"192.168.80.%" identified by "mythtv";
$ mysql> flush privileges;
I gave this a shot as well, to no avail. I'll play around with the permissions a bit.
I did, however, get a small change when I set the hostname to dcerouter rather than localhost. If the hostname is anything other than dcerouter, then the MythTV "skin" or "theme", whatever they choose to call it, is sort of brown in color. It's a real earthy look at any rate. When I use dcerouter as the hostname, Myth immediately jumps into a setup mode where it states that it cannot connect to the database. The theme of this setup utility is a vibrant blue color, much different than that of what I'm used to seeing so far with LMCE and MythTV.
I have also verified that the backend is indeed running. I've tried every combination of hostname/ip I can think of as well.
I'll play with the database permissions and see what I can come up with. I really would like LMCE to work, but I think my hair is turning grey over this.
I really appreciate the responses that all of you have given.