Same problem for me.

Ubuntu 9.10 - clean install
kernel 2.6.31-14-generic
P4 dual 3.2 GHz
graphics: Intel Corporation 82945G/GZ Integrated Graphics Controller (rev 02)

Boot is fine to login window. On login, system freezes (no keyboard,
mouse; requires hard reboot) shortly after. I noticed that the network
manager applet had activity just prior to the freeze, so I searched and
found this thread on the forums:

http://ubuntuforums.org/showthread.php?t=1318694&page=3

In particular, the link provided on that page did the trick for me
(note: I have a desktop, the link refers to a laptop, but instructions
apply to both)

http://www.ubuntu1501.com/2008/04/stop-compiz-fusion-from-loading.html


Workaround to the problem is this:

1) reboot, at login prompt select "Failsafe GNOME" as session type
 
(assuming your system boots....)

2) follow instructions in link above to switch to metacity, not compiz.


Good luck!

-- 
nm-applet freezes xorg/system
https://bugs.launchpad.net/bugs/520738
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