> I have edited /etc/inittab to change :3: to :5: in the
> one line in there, but that didn't change anything.
> (Apparently it picked runlevel 3 as the default because
> X wouldn't work in the installer and I had to use VNC).
>
That wont work inittab is slowly being deprecated add 1, 3 or 5 to
kernel command line during start or in grub.conf directly instead.
So it seems you have encountered two bugs one in Anaconda and another in
KDM
The only possible anaconda bug here is that X "doesn't work", but we
don't have enough data to go on to know whether that's anaconda's fault
or X's fault or what.
The VNC -> runlevel 3 implication is working as designed.
- Chris