Check it out, world -- a $35 project machine that has Ethernet, and does full 1080p HDMI video without hiccups! 

I am definitely interested in getting my hands on one of these bad boys -- perhaps a handful of units from their 2nd Batch, as the initial batch needs a "Red Wire" hardware correction.

Web Streaming Potential - MythTV, Hulu, Netflix

This little machine is begging to become a Streaming Audio/Video solution -- which is fantastic, as I've no interest in using a Roku or a PlayStation 3just to serve Pandora, Netflix, or Hulu Plus.

Home Security Potential

With Ethernet and USB onboard, this device could easily serve as a low-cost USB Web Camera bridge. Or, on the other end, this device could easily serve as a Viewing Station of all the Web-Enabled cameras onsite. Drop a large SD card, or hook up a USB external storage device, and you've got the beginnings of a crude and simple Internet Security DVR.

Gaming and Emulation Potential

This one's a little iffy, as it sports an ARM processor at 700MHz. For maximum efficiency, I'd look to see if SVGA Mame could be made to run on this device. The only other devices I'm interested in emulating are the TRS-80 Color Computer 2, the Commodore 64, and maybe an Apple IIe -- which I doubt would be too much trouble for this device.

An enterprising Video Game Group could potentially create a "Video Game Framework" specific for ARM-processor Linux devices like this, and create an entire Ecosystem of "Open Source" gaming.  Bundle in an Application Marketplace similar to iPhone/Android, and now you've got a Gaming Platform that encourages Developers to create Homebrew Games without the licensing costs associated with the Name-Brand Consoles.

More to come

I'm sure there's a lot more this device can do -- this is just the list off the top of my head after maybe 30 minutes of thinking about its potential. I'm definitely getting one shortly after release, and will likely start up a Raspberry Pi user group in Hawaii to get the ball rolling.