In a VirtualBox Natty installation (=no KMS), I'm able to 100% make the problem disappear, by doing both the following:
1) Disabling grub graphics mode:
Uncomment "GRUB_TERMINAL=console" in /etc/default/grub and run `sudo update-grub`.
2) Removing "vt.handoff=7" from the kernel command line:
Either manually, by pressing "e" (edit) at the grub menu, or by removing it from /etc/grub.d/10_linux, and running `sudo update-grub`.
I'll try with a KMS Natty client next, not sure if that will make any difference.
Update.
In a VirtualBox Natty installation (=no KMS), I'm able to 100% make the problem disappear, by doing both the following:
1) Disabling grub graphics mode: console" in /etc/default/grub and run `sudo update-grub`.
Uncomment "GRUB_TERMINAL=
2) Removing "vt.handoff=7" from the kernel command line: d/10_linux, and running `sudo update-grub`.
Either manually, by pressing "e" (edit) at the grub menu, or by removing it from /etc/grub.
I'll try with a KMS Natty client next, not sure if that will make any difference.