You should be able to do proper distribution on December 11th when version 1.0 of XNA Game Studio becomes available. When you see the racing starter kit, you may also want to re-think what it is possible to do with XNA and start thinking more grandly :)
non-GSE computer needs...
1. Direct X 9.0c 2006 Oct.
2. .Net Framework 2.0
3. VGA -> support Shader 2.0 or more
Haha, thanks mpipe for making me not have to look like a douche. Anyways, I'm assuming it's because the computer doesn't have DirectX 9.0c Oct 2006 (it has an older version of 9c). Also, Peter, I'm not actually trying to distribute it, I just want to send it to some friends to check out the beta. I'm thinking of making an installer (with VS2005) that automatically installs DX9.0c Oct 2006 and the XNA Redist. If I have any problems, I will come back here.
Edit: It turns out that installing the Redist (which is HUGE by the way) didn't work at all.
Cheers,
Leaf.
Alright! You are the greatest. That did the trick. I knew I had used that before (the DX Web Installer), but I wasn't sure if it installed the latest version. If you want to check it out, my devblog is www.infillion.blogspot.com, but right now my server is down, so the game isn't currently hosted. Pretty much all I have to do now is implement high scores and create more levels.
Edit: The server's up again, so if you feel like checking it out, the download is available in the most recent post and on the sidebar.