Very strange. Do you think it's a compatibility issue?
Wait a sec... I remember a client once had an issue while trying to install Direct X on a Duron machine one time. She was trying to install a game, Sims I think, and the install would fail every time. Can't quite recall what I did to get it working, but I think I had to go back to an older 4 in 1 driver.
However, there was something else at the time about changing something in the registry that had to do with the pagefile. Something about forcing a lower page limit or something. Edit:
Found it. I remember seeing this as a patch for Win2k, but it became available for XP at some point too.