Archos
Had the Archos 70 250Gb for a month or so now, it's not for the faint of heart and does require a little monkeying around to get running nicely.....but I'm really pleased with it for the price.
Also got the 11 year old the Archos 101 for her birthday last week and it has literally not left her hands for more than a few seconds.
They're obviously for the slightly nerdy type who doesn't mind getting under the bonnet every now and then, but for the money they're really nice solid gadget toys. If not these I'd have gone for the Hannspad or the Advent Vega.
I'm never going to pay 400-500 quid for a toy, I won't even spend that on my main system. Good to see some companies understanding what they need to do to woo the non Apple buyer, make them reasonably priced and functional rather than aspirational lifestyle products.