Raspberry Pi An ARM GNU/Linux box for $25. Take a byte! The RaspBerry Pi is a credit-card sized computer, powerful enough to run 1080p video and Quake III Arena. Has ARM (11) based processor at heart, running at 700mhz with 256MB RAM. Has an Ethernet connection for network/internet capability, two USB 2.0 slots, HDMI and SD-card slot. You can plug it into any old TV (RCA Video) or monitor (HDMI) Designed and built by a charity for teaching kids to program and educating people about computer science in general. Make yourself a 24/7 server, portable console with emulator for playing old classics, home media center, whatever you choose to do with this device, you can, because you are in control thanks to Free Open source software running it.
A quick look at a pre-production Raspberry Pi (alpha) board and in particular the video output capabilities, showing an HD video running in Linux from an SD card. You can find out much more about this cool project at Raspberrypi.org and look at their FAQ to learn the details. They also blogged about the details of this video.