>>>Debian, OTOH, is a delight on the 901
Really? Can you honestly say that everything works as intended - you know, blue Fn keys, WiFi toggling the blue light too, OSD popups....? I've actually gone back to Xandros after trying half a dozen Linux distros (and even Win7) and decided that the only thing that works properly is what came with the 901!! For normal netbook use it's perfectly OK. Not pretty, not hackable, but it does work....but do keep clearing out enough diskspace for the dreadful update manager to function properly. **
My point is that Xandros *IS* good enough for its intended purpose. My missus uses my Eee in preference to her corporate (bogged down) laptop, and hasn't even asked about the OS. She clicks on "Web" and off she goes. Simples.
I suspect the real problem is that the average user just doesn't understand the ethos of a netbook, and expects to run Photoshop / GTA etc on it. They need the XP interface, and I suspect a great many of them will abandon the whole concept as they are too underpowered for normal laptop use. Time will tell.
** If you have got Debian running absolutely perfectly, then I will graciously eat humble pie if you tell me how you did it!