Seems the root ccause is lack of /dev/sda or /dev/sdb. I am trying to install ubuntu server on machine with hardware raid, no /dev/sda or dev/sdb. Instlaler complaisn aand then enters the loop. As soon as I remove the hard disks from raid, it works, so workaround- make sure you have /dev/sda or /dev/sdb..usb stick should do it. :)
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