I've worked a bit on XBMC so this project has me really excited

It looks like you were able to rip most of the skin code which is cool. There have been alot of talented skinners on XBMC and I'm sure you'll at least be seeing some nice ports of their work.
As far as playing media goes though the deal-breaking feature for me is being able to play off of a network share (preferably samba as that is fairly easy to do on win/osx/linux). I'm sure for most people an SD card is just not big enough to hold their media library. Hopefully you can use XBMC's file code for that (I haven't looked into it too much myself).
Anyway thanks for the frequent updates... this is definitely something I'm going to be tracking going forward. We all appreciate the work you've put in this.
-ast