I would like to confirm that this is still an issue in the latest
build of ubuntu karmic.  I am using the alternative amd64 iso on qemu.
I got around the problem by pressing F6 and picking the second option
that said "no acpi."  Unfortunately, it crashed about a minute and a
half later, but it could help get you to the next step.

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MP-BIOS bug: 8254 timer not connected to IO-APIC
https://bugs.launchpad.net/bugs/283489
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