I presume you have the Ubuntu distro?
You need to install a lot of development tools, including the gcc package (which is the compiler), and you also will need to obtain the kernel source appropriate for your version of the kernel. Basically, the kernel source is just what it sounds like; the source code that was used to compile the kernel that is in your system. You need to have this source because anything you compile has to match your kernel, and it makes sure of the match by grabbing information from the source for the kernel you are running.
Using the package manager, do a search for gcc then install the packages that are found (unless, of course, you have already done this). Then look for kernel-source and install the one that matches your running kernel. That should get you going.
Unfortunately, right now I am on my Mandriva system (not my Kubuntu one), or I could give you more specific instructions.