Today I've been setting up a new machine with Windows Vista build 5365.
Visual Studio 2005 setup doesn't work properly when you install it from the DVD or a mounted ISO image.
The workaround is to copy the contents of the DVD to your filesystem and run setup from within the vs/setup folder.
Also in this build I'd noticed that anything to do with the Explorer interface was taking a long time (and causing frequent SearchIndexer.exe crashes) - but this resolved itself when I changed my system locale back to English (US). From a quick search on the internet, others have also disabled Windows Search service from starting up and had equivalent success.