Got Arch Linux pretty much fully working inside of Android. Waiting for some guys to finish writing an X server for Android, then everything will be complete. For now, if I want X, I have to run it along with VNC then remote into it, but I'm content with just using a terminal over ssh. I've got vim, ruby, rails, nginx, postgres, git, etc all set up and functional, so I can now do all of my development locally right on my tablet. Previously I was using my tablet to ssh into an Arch VPS to dev, but that obviously has the downfall of requiring a low latency internet connection. Coding on the netbook-like Eee Pad Transformer has never been better. Now I just need to upgrade to a Tegra 3 model so that compiling things doesn't take as dreadfully long.
If anyone's interested in doing it themselves, let me know and I'll write up some instructions. All you need is root.