So here is where I stand.
I have got the machine to see the Nvidia and the NIC with Kubuntu 7.10 (no updates, only compiled new kernel) everything works EXCEPT i cannot cache the Kubuntu installer CD during the CD install of LinuxMCE. I have tried with both a 2x burned CD and the MD5 checked ISO image, no luck. I then tried using the older kernel before updating and this didnt work either. I am not going to try to install via DVD again with the ATI card installed, once the install has finished I will install the nvidia drivers and try again...