Moblin the Intel Linux Open project just released "moblin-v2-core-alpha", available in various form, I downloaded the livecd and tested it with kvm (with hardware virtualisation)
Then an isolinux menu appear and the system boot (very fast) until a XFCE desktop appear.
I have quickly tested the desktop and made a video, but it's not very impressive since it's just XFCE running on Fedore distro, the major innovation is Underneath...
(In other words, kernel's drivers set, optimizing the boot process etc).
By the way, tuning a distro on embedded Linux could be the subject of an other article in the future, just ask for in the forums.
"The Moblin Architecture is designed to support multiple platforms and usage models ranging from Netbooks to Mobile Internet Devices (MID) to various embedded usage models such as the In Vehicle Infotainment systems. The central piece of the architecture is the common layer we call "Moblin Foundations", a hardware and usage model independent layer that provides one uniform way to develop such devices. Underneath the Moblin Foundations sits the Linux kernel and device drivers specific to the hardware platform, and above the Moblin Foundations are the specific user interface and user interaction model for the target device."