FWIW here's a status update: the $60 computer is now running Debian Linux, which I got sucked into via a Knoppix CD. Debian is pretty cool... for Linux. I also have migrated ffrom KDE to Gnome -- I miss a couple of KDE's features (network transparency and Klipper), but my delicate Mac sensibilities just couldn't take all the busyness anymore; it can't be just "skinned" away.

And I never did get that Turtle Beach sound card to work!