Is Linux susceptible to Malware?

I know the risks are far lower compared to Windows, but I was wondering if I had managed to get a VM infected.
I was testing out Ubuntu 11.10 Alpha 1 in vbox and well it there were some problems with getting the system booted up, but once running it was ok enough.

Over the weekend I used that VM to download a few American cartoons from some dodgy file storage websites. It was the last lot I hadn't managed to get from torrents.
First couple came down alright, but the next few I had a lot of trouble copying the files off onto USB memory stick. The whole system ended up slow and unresponsive.

Wondering if some malware came down through FF5. Or perhaps the Alpha 1 was so bad it was going to kill itself no matter what?

I think it certainly wouldn't be impossible but at the same time I don't know how any malware could do anything to the actual operating system without root permissions..

Hopefully it was just Alpha 1 self destructing.

Good point. Yeah guess it was just self destructing

Quids. Out of curiosity why are you still doing OSGUI stuff? If I were in your position, I'd be afraid of Tim blowing up on me or something.