I am building a new distro mainly for educational purposes. It's a live cd using linux version and grub 0.97. It runs all the standard utilities from coreutils and others. It has startup and shutdown scripts, multiple users and terminals.

At the moment it just uses an initrd file to extract into ramdisk. Extracted, it uses about 10mb. I want to install a gui for it. I want to use xfree86 and icewm. The problem is, I cant get xfree86 to fit in an initrd file reliably. Anyway, this isn't how live cd's work (I think).

My question is; how can I make my distro mount an uncompressed filesystem (that is on the live cd) at startup so that it doesn't have to extract it to ram?