Comment 6 for bug 485252

Finally I've found a way!

To start the Lucid server installation you need to add the following kernel args:
vga16fb.blacklist=yes vga=788

Then after the installation and reboot, interrupt GRUB and add the following line just before the 'insmod' line:
set gfxpayload=keep

Voila! Lucid server installed on VPC.

This should be fixed for maverick, not sure how, but I would think the vasefb module should NOT be blacklisted.
Also, if a module is specified as a kernel arg, it should be loaded even if it was blacklisted.
So if you add the arg: vesafb.mode=800x600x8
It'll load vesafb regardless of being blacklisted.

This is still only a workaround.
If gfxpayload is not set the VM crashes, and I don't know how to debug this.