Doctor Who said:
Addendum: This is taking so long that I'm getting message windows from WIndows Easy Transfer that say, "Attempting to reconnect", and then they go away and it starts again, and then the "Attempting to reconnect" window pops back up, etc.
Use the transfer wizard to a local hard disk not directly to the new computer.
AS far as whats going on... It's going through every reg key and file and comparing them to a save list database then moving them into one big file (zipped).