Eee PC won't boot from USB
Solution 1:
I had the same problem a couple of weeks ago. It turned out that mine Eee (model 1018p to be exact) didn't understand newer versions of FAT. Try to compile USB stick to FAT16, copy boot image (memtest is great for the test purposes as you don't need to jiggle GBs of data) and try once again. Also, SDHC card works fine.