I did some additional testing that might help resolving this issue.

First, I tried using a burned CD image. This was Sunday's daily build (1
March). It happened here as well.

However, when booted into Safe Graphics mode, it didn't happen.

Second, I also tried it again with today's daily build, from my USB
drive again. It still froze, even when booted into safe graphics mode.

What's notable, however, is that nm-applet didn't start immediately.
While I was browsing through the menu I saw the tray icon hadn't
appeared yet. When it froze, it *had* appeared. This leads me to think
NetworkManager is someway involved, so I'm adding that as possibly
affected as well.

I suppose I'll give this a try with Ubuntu as well. If there's any more
debugging I can do, please tell me :)

** Summary changed:

- Jaunty alpha 3 LiveUSB gives kernel panic
+ Xubuntu Jaunty completely freezes after booting

** Changed in: network-manager-applet (Ubuntu)
Sourcepackagename: linux => network-manager-applet

-- 
Xubuntu Jaunty completely freezes after booting
https://bugs.launchpad.net/bugs/323600
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