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How I resolved it
I'm pretty much a noob at linux, so I don't know exactly why this worked, I'll just let you know. I have an HP nx9600 and had the same problem, Window Setup locking to a black screen and stalling with Fedora 4. I'm pretty sure Windows XP is hanging trying to read the MBR on the hard drive, something flakey with Fedoras GRUB prolly. Anyway, I downloaded the Debian network install iso (I'm pretty sure others will work too, non-Fedora) which was about 110MB, ran that setup and overwrote everything including MBR, let that finish then rebooted. I tried the Windows XP setup disk and BAM, loaded into the setup environment no problem. Hope this might help you out.
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