I've been trying for one night long on getting Windows 7 RC to run on my Lenovo S10, I've tried following several guides, but it seems that a combination of each of them seems worked for me.
Installing Windows 7 is pretty easy and straight forward, but the tricky bit is making your USB Drive bootable.
0. Make sure your mainboard support USB Booting, and make sure your USB Drive is bootable.
1. Extract the Windows 7 image file (iso) to a folder your hard drive, in my case, I'll use "D:WIN7".
For Windows 7 Release Candidate 1 (32 bit), the extracted files will be 2.37 GB in size, with 837 files and 164 folders, so your USB Drive has to have at least 4 GB Capacity.
3. Format your USB Drive to FAT32 using those tools.
4. Just to make sure the USB Drive's partition is active. Goto command prompt, type:
SELECT VOLUME # (# is your usb drive number)
5. Don't exit command prompt yet, you'll have to create the bootsector and copy the setup files over:
cd WIN7 (your folder in step 1)
BOOTSECT.EXE /NT60 X: (X: is the drive letter of your usb drive)
XCOPY D:WIN7*.* /s/e/f X:
6. Restart your computer, make sure you've changed the boot priority in the BIOS for USB Drive to have higher priority than your hard drives, then you should be able to boot up Windows 7 Setup from your USB Drive.
7. Install Windows 7, remember to pull the USB Drive off after the computer restarts when the initial setup is completed, otherwise you'll see the Setup screen again.
Please tell me your results, I'm anxious to know!