I confirm this on a MSI MS-7235 P965 Neo Series motherboard. Currently the only options are to either disable both USB keyboard and mouse support, or to disable IOAPIC in the BIOS (but you will use just one core).
-- Core 2 Duo CPU halts on boot with stock edgy generic kernel https://launchpad.net/bugs/70548 -- ubuntu-bugs mailing list ubuntu-bugs@lists.ubuntu.com https://lists.ubuntu.com/mailman/listinfo/ubuntu-bugs