If you do not change the OS Installation from Start to Finished in the BIOS, you may have troubles with the webcam displaying only a black screen.
See also Howto: USB Restore to create a bootable USB memory device from the DVD.
If you have a corrupted DVD image or a bad burn of the DVD (if you've burned your own DVD from the XEPC image) then the attempt to copy the system image file to the EEE PC may fail, producing dd errors like “buffer I/O error on device sr0”. If this occurs you'll need to create a new install DVD and restart the install process. Your EEE PC will not be able to boot until you install a clean OS image, although the BIOS setup and boot menus will still be accessible.
Remember that restoring from the DVD re-creates all the partitions that come on a factory install on the Eee PC. Period. If you have made any changes to the machine, they will be erased. Remember, this is great if you mess up your system because you can always undo your changes, but you should always have your data backed up on another medium if you restore your Eee.