M3N78-VM Problem with LAN and recognizing HDD

I'm putting together my first computer build, and I've run into a couple of problems. Here's my computer:

AMD Athlon 64 X2 5600+ Brisbane 2.9Ghz
Asus M3N78-VM Mobo (Intergrated GeForce 8200)
Corsair 4GB DDR2 800
PC Power & Cooling 370W PSU
Western Digital Caviar Green 640GB HDD
Samsung 933BW 19" Widescreen
LG DVD Burner with LightScribe (didn't arrive yet... it was misrouted)
NZXT mid-tower case


1) The first problem is the LAN. The Asus AI NET 2 gives the message on boot:

"Realtek Phy LAN Cable not ready, enter setup for detail."

I've checked the connection, and my laptop uses the same cord to connect without a problem. Needless to say, the internet doesn't work on the Ubuntu LiveCD (i connected an old CD drive for the time being.)

2) The second problem is that my hard drive is recognized by BIOS under the SATA1 slot, but none of the Ubuntu install CDs recognize the hard drive... neither does my Windows XP install CD. I'm not very experienced, so would the HDD be recognized if it was DOA, or is there something I'm missing?

3) After finding these problems, I tried updating the BIOS, but nothing improved. The computer still runs LiveCDs, just without internet, and without a working hard drive. My goal is to have a WindowsXP/Ubuntu dual boot like my laptop.


I'm still a beginner so I'm not sure what other information might help to figure out what is wrong or maybe what I did wrong. I appreciate any help.

 

UPDATE: The motherboard recognizes both the SATA DVD drive and the SATA hard drive in BIOS with all the correct settings, but both have slight problems when trying to use them.

My old IDE CD drive ran without a problem, but it's old and does not run DVDs (obviously). Windows XP setup runs, but does not recognize the hard drives, and neither does Ubuntu or several other linux LiveCDs I've tried just to get a few choices.

The SATA DVD drive has problems when loading the LiveCDs, and claims to have files missing, even though they work when on the IDE CD drive. The LAN port lights up like it should as if it were connecting, but the LiveCDs don't actually connect to the internet (but maybe this is a problem I can solve once I install XP and install the proper drivers, if that's how it's supposed to work?)