I asked a question before about the same computer and finally got it up with Windows ME.
After it was up I started to get a BSOD and some other errors I should have wrote down. This is a seven year old system that won't recognize larger hard drives. It is a 166Mhz pentium processor. I went into fdisk and deleted the partition and then created a new one. After rebooting I did a fdisk /mbr and then from a:\ sys c:
After rebooting I chose cd-rom support (option 1) and got my a:\ cd to e:\ and went into setup. There were more than several times with Windows 98 & ME disks where it will start installing and get to different points or only so far and give up. The system will become locked. The last time I tried Windows 98 I got it showing 100% of the Windows files loading but then I got a USER.DAT file error. That took me out and I don't know if I have to start over again.