Question : Problem: System SVCHost.exe maxes out cpu.

Windows XP Pro has a problem with process system svchost.exe maxing out cpu.  Computer won't run correctly until you open task manager and terminate the process "system svchost.exe".  There is no accompanying error message, just a completely bogged down computer.

Answer : Problem: System SVCHost.exe maxes out cpu.

Most likely a known bug with the Windows Update service. I believe this is the correct hotfix: http://support.microsoft.com/kb/927891/