I've confirmed that Alpha 3 desktop no longer suffers from this,
although it has some other problems.
(The alternate CD has an older version for awkward timing reasons and
may still suffer from this, but if so that will go away in daily
builds.)
** Changed in: oem-config (Ubuntu)
Status: Confirmed => Fix Released
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[Intrepid] OEM Install hangs at user configuration
https://bugs.launchpad.net/bugs/243853
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