Here's where I'm at in my modding:
The Matrix chip has been flashed with a blue bios (I've flashed it a couple of times now just to check and see if that was the problem!)
I go to Mode 1 and have no problems aligning it (well, green light anyways) but when I switch to Mode 2 and reboot the box, the system trys twice and makes a squeaking noise from the hard drive each time, then gives up and I get a flashing red/green light around the DVD Drive eject button. There is no video output during this as well. I've tried this over and over again....holding the chip into place and slightly moving it but to no avail....except when I move it too far and it just loads up the default bios.
Any thoughts would be greatly appreciated!