The Live CD should run successfully the first time, but if it doesn't run successfully after that, it is because the "boot=" flag is set incorrectly.

First, you will need to have undo disks enabled.  Before shutting down, release the ISO or eject the CD and then select Close from the Action menu and then select "Turn off and save changes"  When the VPC is started again and the ISO/CD is recaptured the system should start successfully.

This happens because the OS sets a flag, boot=warm, after the first run and this is saved by the VPC.  There is a bug that causes the live CD system to hang at startup of PCMCIA services if boot=warm at startup.  For some reason, when the ISO or CD is ejected, the flag is set somewhere to boot=cold, and therefore the PCMCIA services (and therefore, the rest of the machine) boots successfully.