Comment Beagleboard? (Score 1) 161
Doesn't this already exist as the beagleboard? Arm cortex A8 @ 1GHz, 512 MB RAM, USB host/OTG, DVI out, SD slot, Ethernet, RS232... It's not as small as a Rasberry Pi or a PCMCIA but it's still pretty small (about the size of a 3.5 inch floppy). Draws about 1/2 amp at 5V at full load. Can be powered off USB as long as it's own USB host is not used.
Lots of projects already going on it and it's open HW, schematics for everyone!
It's trivial to get one up and running with several flavors of Linux (I've been using Ubuntu). Plenty of other options as well.