Hi Marc, Leann, Joey,

We had a similar issue when we tryed to install Jaunty over the network,
finally we found that is something related with the Atom power
management.

Try to disable C-States of the Processor Power Management setup in BIOS.

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Karmic takes forever to install on a Toshiba NB 200
https://bugs.launchpad.net/bugs/435257
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