I am trying to boot the XBMC Live image (http://xbmc.org/download/) as ISO from USB via grub 1.98.

I have a Kubuntu 11.04 image there as well already and it works using the following configuration:

menuentry "Kubuntu 11.04 64bit" {
  loopback loop /boot/iso/kubuntu-11.04-desktop-amd64.iso
  linux (loop)/casper/vmlinuz boot=casper iso-scan/filename=/boot/iso/kubuntu-11.04-desktop-amd64.iso noeject noprompt
  initrd (loop)/casper/initrd.gz
}

However, if I try to boot XBMC in an analogue way, I always get an error "Unable to find a medium containing a live file system".

I found different approaches to install XBMC, but they all are about installing the distribution on USB, or using grub4dos, or unetbootin.

I already found out that XBMC 10.1 is based on Ubuntu 10.04.2 LTS, so I tried those settings - even though they are quite similar to Kubuntu 11.04.

Finally, the ISO contains a grub configuration as well in boot/grub/grub.cfg, but even with those parameters, I get the error above.

My current configuration is the following one:

menuentry "xbmc 10.1" {
  loopback loop /boot/iso/xbmc-10.1-live.iso
  linux (loop)/live/vmlinuz video=vesafb boot=live iso-scan/filename=/boot/iso/xbmc-10.1-live.iso xbmc=autostart,nodiskmount splash quiet loglevel=0 persistent quickreboot quickusbmodules notimezone noaccessibility noapparmor noaptcdrom noautologin noxautologin noconsolekeyboard nofastboot nognomepanel nohosts nokpersonalizer nolanguageselector nolocales nonetworking nopowermanagement noprogramcrashes nojockey nosudo noupdatenotifier nouser nopolkitconf noxautoconfig noxscreensaver nopreseed union=aufs
  initrd (loop)/live/initrd.img
}

Any more ideas or any more information I should supply?