Use a USB Key to Install Windows 7 – Even on a Netbook.
From Microsoft Technet – “Putting the Windows 7 installation on a USB thumb drive has a few advantages—a small USB key is much more convenient for carrying around than a DVD, the OS will actually install much faster, and you can use a USB key to install Windows 7 on systems that do not have a DVD drive, such as a netbook. In fact, you can even install Windows 7 on netbooks that have fairly modest hardware. Dennis Chung, an IT Pro Evangelist at Microsoft recently posted a video demonstrating how easy it is to prepare your thumb drive and use it to install Windows 7. Here’s a quick look at the process:”