Did you follow the instructions in the Icaros Desktop manual pdf for installing on a pendrive?
There is a chicken and egg problem. You need to boot to AROS before you can install it on the pen drive.
A friend burned an AROS Live CD for me. It boots on one computer but not mine 
It gets stuck on a grey screen after loading for a good while. Looks like I'm not going to install AROS
When you say 'CD' you mean the 'light' version then? I was going to suggest trying that instead of the DVD. I seem to remember giving it its own hard drive at the time for some reason. The cd I burned was definitely bootable and you could test it out before installing (AROS that is). I wouldn't know about the dvd version but I presume it would be the same. Mine wasn't a compatible machine off the list, I managed to get my AROS connected to the internet but I couldn't get sound or correct graphic drivers to work. I had some fun trying though. I wonder whether your system is unhappy with the drives connected to it and it's stuck in drive scan mode or something. Pure speculation btw...
