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TBH if you want a really nice setup then I believe Wndows XP Embedded with HORM and EWF is where it is at. I keep meaning to try this out, but lack of time is a problem.
I wouldn't touch WinME with a long dirty stick. 98SE isn't too bad, but still has its issues. XP is much more stable, but is more tricky to do custom stuff with.
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6yr old first install died 20/8/2005 as result of bad bios flash.
New system : 6x5x2" contains 1GHz C3 PCM9373, ISR based PSU, 8Gb flash DOM, 98Lite, DirectShow based frontend.
GPS : Rikaline 6010.
Display : LTM08C351 + LVDS receiver.
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