I am running in to this same problem installing jaunty on a Lenovo T500
laptop.  I have tried it multiple times and have let it go for as long
as an hour.  The buttons never become active but there is a lot of diak
activity, and the processor stays at arround 60%.  I have tried it from
a cd and a usb thumb drive.  I am going to try the alternate cd now.

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Only "quit" available after keyboard selection during installation
https://bugs.launchpad.net/bugs/262724
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