Talking with a Red Hat exec yesterday and learned that he had seen several prototypes of the MIT $100 laptop. He had actually turned the crank to drive one prototype; it works (ok, it works on one prototype model). At least one prototype will be ready for the big announcement by Nick Negroponte on November 17th.
And he says that the Linux that will be on the prototype will be Red Hat (Fedora or RHEL?).