Visual Studio 2008 installation is not going well on Vista

Ok this is the scenario. I have the chance to get a brand new custom made PC with an AMD 5000+ processor, 400 Gb of Hard drive, 2Gb of Ram and a 24" screen. in short the dream machine!

Anyway this is the best situation to install and test the new VS 2008 Beta 2. So I installed in this order, Vista, SQL 2005, Visual Studio 2005.

Then with Daemon tols, I mounted the Beta 2 image with Daemon tools, and started the installation. After about 50 minutes with the setup stuck on 'Initializing .Net Framework 3.5' I got suddenly the bad news from the setup that .Net Framework 3.5 couldn't be installed. In the installation log, I have this funny message that I was using the wrong diskette :-) (Yes I don't even have a floppy disk on this PC!).

I burned the image to a DVD and same issue

Anyway the solution I am trying now is to install separatly .Net 3.5 Beta 2 then the VS 2008 Team edition. Cross fingers hopefully this should works.

However one thing to complain about, the .Net framework 3.5 setup is sooooo sloooooow!.

Update 1: Just as I am writing this post the .Net 3.5 setup has failed. I don't know I don't get it, this works well on my laptop with XP?

Anyone has an idea? Have you succeeded with Vista and VS 2008 Beta 2 installation?

Update 2: Now in the logs I have something telling that I don't have .Net Framework 2.0SP1(X64) (CBS) installed. What CBS means ??

Update 3: Now I am really stuck. I checked with Google and MSDN and can't find any .Net 2.0 framework service pack 1 for X64 ??

Update 4: Scott Guthrie recommend to uninstall the KB929916 .NET Framework update on Vista. Thanks Scott I am trying now, hope hope ;-)

Update 5: Update 4 doesn't work :-(