I now use Ubuntu 8.10 on my AAO. It worked okay once I followed all instructions on the ubuntu wiki pages at
https://help.ubuntu.com/community/AspireOne
and
https://help.ubuntu.com/community/AspireOne110L
and recompiled ALSA with the latest version. Also I had to place the following in
/etc/modprobe.d/alsa-base
options snd-hda-intel model=acer-aspire
And I had to edit /etc/X11/xorg.conf to boost the resolution for my monitor. I ran the Screen Resolution applet from System > Preferences, then edited xorg with
sudo pico /etc/X11/xorg.conf and changed the
Subsection "Display"
Virtual 1024 768
End Subsection
line to
Subsection "Display"
Virtual 2048 2048
End Subsection
I think 2048 is the highest that the intel graphics chip will go, but I can't test out my theory :)
I'm not sure if the line in xorg.conf suggested by the ubuntu help pages is supposed to be
Option "AccelMethod" "EXA"or
Option "AccelMethod" "exa"
in linux capitalisation tends to be a big deal, I need to find out.
I also had problems with the screen locking every time the AAO came out of standy. This was rectified by running gconf-editor from the command line and going to / > apps > gnome-power-manager > lock and unchecking all the boxes.
If all this fun isn't worth it for you, I highly recommend Fedora 10, which was recently released and tends to be more up to date than ubuntu. I installed it following the excellent instructions from fedoraproject.org/wiki/Acer_Aspire_One, but I had yum problems, probably due to the fact that I installed the preview version (I got it from computer services at college, they told me it was the release version).