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I am also having the same problem.ServiceHost: local sys uses almost whole of the disk and so my asus x54c becomes quite slow.
Hi,
I suggest to use Process Explorer to troubleshoot the high usage of CPU.
Process Explorer v15.40
http://technet.microsoft.com/en-us/sysinternals/bb896653.aspx
Detail steps you can refer this blog:
http://blogs.technet.com/b/markrussinovich/archive/2008/04/07/3031251.aspx
It could help you to determine which process detailed under svhost.exe cause the issue.
Keep post.
Kate Li TechNet Community Support