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The top linux OSs are listed on raspberrypi.org under downloads the best being raspbian, theres also full 100% support for xbox media center through raspbmc or open elec which can play hd videos, apple airplay ect, The ports for chromium OS and android have been acomplished but are still pretty unuseable
BUY IT! its awesome.....the best part is you get to learn how to tweak a linux distro down to almost nothing.......I love it....as a matter of fact, check out this link for Home automation;
All kinds of projects are coming up for me with this litle gem.
That rumor about Android being ported to Raspberry Pi isn't just a rumor. Having hardware accelerated graphics and video playback capability will be pretty sweet for a $35 computer. There is an article about it on Ars. http://arstechnica.com/gadgets/2012/08/android-4-0-ported-to-raspberry-p...
Yeah, Raspbian (Debian that is optimized for the Raspberry Pi.) is the way to go, particularly starting out. You will find the most help and resources for it, save the challenge of a different, OS for later. Incidentally, since you mentioned Chrome, you may be interested to know that there actually is an active effort on porting Chromium OS to Pi, but at this point it is just to the stage of being able to boot.
There is an "official user guide" scheduled to be released in October. You might want to keep your eyes open for that - it could be useful.
It's pretty neat what people have done with a $35 piece of hardware. Check out this portable workstation someone assembled: http://www.geek.com/articles/chips/raspberry-pi-turned-into-a-portable-w...