Hi,
got exactly the same problem. I think maybe the image is corrupted in some way? It's not a BIOS setting! Booting from USB works just fine.
Running OSX which can mount iso without problem but doesn't work, says no mountable filesystems found in iso. Diskutil refuses to open image. dd'ing the image does not work. Only Rufus is doing a working syslinux but thats all. When trying to run linuxcnc from the menu I always get corrupted image error. MemTest and SysInfo (in advanced menu work just fine but I'm pretty unsure if it is part of linuxcnc or from rufus/syslinux). Installing from USB is impossible, installer starts but is always looking for a cd with the installation files.
Tried to burn the iso in different ways, does not work.
Used the mentioned way on VirtualBox Windows with infrarecorder. Everything went ok, but can't boot, cd is corrupt, can't even be read. Can have a look at the iso in windows with ultraiso but can't burn due to unknown error.
What I tried so far:
Iso: linuxcnc-2.7-wheezy.iso - downloaded several times, md5 is exactly as in install doc.
USB:
- on OSX with dd copying (manual), converting to img with diskutil and dd
- on Windows (VirtualBox) Rufus, Win32DiskImager, unetbootin, pendrive Universal-USB-Installer, LinuxLive USB Creator
DVD:
- on OSX with burn-osx, build-in burn
- on Windows (VirtualBox) infrarecorder, UltraISO
My next step will be to install linux in VirtualBox and try to copy the linux dd way (may differs from apple dd?) or use the in the docs mentioned way to burn dvd.
Hope that helps to make progress?
-Michael