If your CD doesn't work, how did you get the operating system installed? If your system recognized the CD when you installed the OS, but isn't recognizing it now, it could be any number of issues from drivers to hardware configuration/failure to BIOS settings.
Assuming you did not change the hardware configuration of your computer (did not remove or unplug anything, and did not add anything), Windows XP (assuming that's what you're using) should recognize any CD during the initial install. If you had the case open, check for disconnected or loose wiring to your CD.
Regarding your network adapter, the Windows install CD does not have many of the network adapter drivers. Since you are only showing a 1394 firewire adapter, it's likely you simply need the drivers installed for your network adapter (and your Internet connection) to work. The real problem you have is how to get the drivers to your hard drive since you don't have a working CD drive. You could try using a friends computer to put the drivers on a flash drive (aka thumb drive) and plug it into a USB port to see if that would work. If your system has a floppy drive, a floppy disk would work as well.
Your system is recoverable, but it may take you some research and time to get there. This will be a very educational learning experience for you. Be patient and you'll figure it out - we've all been there.
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