I have a HP Pavilion X2 (11-h003sa) and a Toshiba P55-A5312. I temporarily had a Lenovo Yoga 2 Pro but regretfully I had to return it because of this issue. All of these laptops have the Intel 7260, and all have the drop-out problem.
I've tested with the following operating systems: Windows 7, Windows 8, Windows 8.1 and Ubuntu 13.10 (on every laptop I have/had). I've also tested with a range of routers (Netgear, Apple Airport, TP-Link and tethering on my Nexus 4). Frequent sporadic dropouts occurred on all my laptops with every single operating system. Because I need to use SSH a lot, it made all my laptops borderline unusable.
Something that worked reliably for me was to use a Netgear or TP-Link USB WiFi dongle. Not very convenient, and users shouldn't have to resort to such a workaround for new laptops they've paid good money for.
Recently I decided to search for a better fix than carrying around (and trying not to lose) tiny USB WiFi adapters. After looking at the logs when running Linux and doing some Googling (this problem is very wide spread, and not isolated to a small number of laptops), I found the culprit to be a faulty 802.11n implementation on the part of Intel. A reliable workaround is to turn off 802.11n.
On Windows:
1. Open Control Panel | System Security | System.
2. Open Device Manager on the left hand side of the window.
3. Click on Network Adapters.
4. Right-click on Intel Wireless 7260, and click on properties.
5. Click on Advanced Tab.
6. Click on HT Mode and then select disable as an option.
On Linux:
1. Open terminal.
2. sudo vi /etc/modprobe.d/wifi-disable11n.conf
3. Add this line: options iwlwifi 11n_disable=1
4. Save and restart.
As for the possibility of a "driver update" resolving this issue - I'm skeptical this will ever happen, as from what I've seen in various threads on the Internet, this has been a known issue for quite some time (and several new drivers have been released in that time).
Very poor show, Intel. I've returned an otherwise perfect laptop (the laptop of my dreams) because of this issue. I wonder how many other people have done the same (will do the same). I'm now waiting for something similar to the Yoga 2 Pro (i.e. high resolution display) that doesn't use Intel WiFi.