Endless problems with trying to use the GPU on this machine. It is sooo cute and has 4 working Atom CPU's. You'd think it could process 720p (it's maximum). But not for a long while, when I read everything on this. Main suggestions were to turn off all GPU support and give up on it.
Yeah! I read something an installed all the 'libva' packages. This is the Intel vaapi protocol which activates video playing for the GPU. It worked! Found out that XBMC does not have the i915 driver which is required for this N10 integrated graphics set. Now I hope to get that GPU temperature up!
Update: Turns out this sucker has a Realtek 8111 ethernet chip which doesn't play well with the Linux kernel. It goes off and on, and that was a problem as well. You can tell when it makes a difference that you use the network or the internal drive. I got the Realtek Linux driver and followed this. It is really important to blacklist the old driver and they don't say that on the instructions.