I am also a 1.6 Pal user and agree its annoying with no video, but you can set up the bios with the standard cable, then switch cables as it only affects the Xenium OS its not a problem once you boot up a bios. You can use the the quick boot options for different bios banks then you don't need to see the screen.
I have several bios on quick boot so I can chose either Avalaunch, Evox, XBMC or the standard dashboard.
I can't say I have any experience with other chips as I am a newbie, but I like the Xeniums tidy installation (no need for extra switches to be added).
They say it will be fixed in the next release which is cool, but I find it's not really much of a problem as I don't really need the OS once I setup the bios.