Same problem here with an USB stick. The installation fails. Needed to go for 
the desktop version :-(
This bug that prevents admins to install Ubuntu 14.04 Server Edition on a 
server got confirmed on April 26, 2014. 
Interesting that Canonical didn't solve it until now....

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https://bugs.launchpad.net/bugs/1312586

Title:
  Default 14.04 server installation fails with error 'busybox-intramfs
  cannot be installed'

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