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WiFi synch does not work with iPhone 5 but works with 4S

I just configured my brand new iPhone 5 by restoring last save and everything works fine except the Wi-Fi synching. Tried to uncheck in iTunes while plugged thru USB, Apply and re-checked and Apply. Doesn't work. Just for fun I opened up my iPhone 4S and iTunes saw it on Wi-Fi (and the 4S was not even plugged on power).
Since basic configuration was restored how come it does not work anymore for Wi-Fi synching. Is it iTunes 11? If so why iTunes sees the 4S but not the 5?
Thanks for helping
 
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