Symptom
The About iTunes 1.1 document says:
"Important: With FireWire and USB CD-RW drives, you may not be able to use third-party CD burning software after you install iTunes. Contact the manufacturer of the CD burning software for updates that resolve this issue. To avoid this issue, when you install iTunes choose the option that does not install the CD authoring support."
However, the first custom installation option says: "iTunes Application with CD Authoring Support". See Figure 1.
Figure 1 iTunes custom installation option
Solution
You can use the first custom installation option. It installs the software necessary to burn a disc using an Apple CD-RW drive, but it does not install software for third-party USB and FireWire drives. Use the Easy installation or the second custom installation option to install software for third-party drives.