I can run Setup from an original release OEM CD, an upgrade version SP1 CD, and an SP2 slipstream based on my OEM CD... all 3 make it to the partition selection screen fine. I just tested all 3. For the record, my board is a DFI LanParty NF4 Ultra-D. And all 3 installers were, actually, able to see my 2 Seagate SATA drives without loading any drivers from floppy, so I apologize for that possible bit of misinfo. SP1 could even tell that they were striped together for RAID 0. This was not the case earlier this week when I installed XP SP1 onto a 100GB Maxtor connected to an MSI NF4 board's native SATA controller for my brother in law, I had to load the floppy for that one. There may be some BIOS/firmware issues involved with the detection of the controller and drives, or lack thereof.
Either way - you have a problem, but it's not the fault of the NF4's core logic, or Windows Setup. I'd recommend taking this isue over to General Hardware for further help and greater exposure.