If in fact your baby does well with other strangers and children, then perhaps you could have your friend's baby come to your house where your baby is probably most comfortable. Once he becomes comfortable in his home environment with this child, you could slowly transfer over to his friend's house....short intervals at first, then extend the time you spend there.
Did your baby ever have a "bad" experience at this other child's house? Sometimes, all it takes is a bad first imression, and that memory will "stick" in a sense.
It sounds like you are definitely providing as many social opportunities as you can for your baby, and you are very much aware of your baby's limits....so just keep up the good work, and have faith that your baby will most likely eventually out grow this behavior.
My baby is very friendly with strangers. He actually loves to look at other babies and small children, but when we are around the one child down the street he is just unconsolable and that is the opportunity I have this summer to "socialize" him with other baies. I wanted to take him to the daycare for short intervals this summer before I actually put him into daycare, but the daycare (and my work) is a 30 minute drive and I just cannot afford the gas to do that. I have been taking him to the community pool and he seems to do fine there. Maybe the problem is with having the other baby so near to him.
How does your baby react to other strangers in general? Is this ONLY with other babies, or is this reaction to all strangers? I am a stay-home Mom with 2 boys. My first son had no problem going to playgroups, story hour, and preschool. However, my 2nd son has had a real struggle with it. Whenever I took him to playgroup, he would throw a full-out fit. Every time I took him, I would count on a melt down at the door. On the advice of our doctor, I kept taking him, for short intervals at first (10 min.), then slowly extended that time. We eventually got to the point where we could stay for just about the full 1 1/2 hours. However, his anxiety has continued into the preschool setting....where he just completely shut down and wouldn't talk to anyone. To make a long story short....I would suggest that you continue to bring your baby to playgroups and such, as well as mention this to your doctor. Social anxiety is a real condition, and it can manifest at a very early age.
Good luck!
Well, that's the problem. I don't know anyone that has babies and children sohe has never had interaction with any babies.
What does he do around other children and babies he knows?