Speaking of small, take a look at Damn Small Linux or DSL. The distro comes in a CD less than 50MB. DSL practically runs on memory gas fumes, a mere 128MB. DSL is also capable of running as a SSH, FTP and HTTP server. In addition, you will get a XMMS music player, Firefox browser and a host of other apps. Here’s a list:
XMMS (MP3, CD Music, and MPEG), Netrik web browser, FireFox, FTP client, Dillo web browser, spreadsheet, Sylpheed email, spellcheck (US English), a word-processor (Ted), three editors (Beaver, Vim, and Nano [Pico clone]), graphics editing and viewing (Xpaint, and xzgv), Xpdf (PDF Viewer), emelFM (file manager), Naim (AIM, ICQ, IRC), VNCviwer, Rdesktop, SSH/SCP server and client, DHCP client, PPP, PPPoE (ADSL), a web server, calculator, generic and GhostScript printer support, NFS, Fluxbox and JWM window managers, games, system monitoring apps, a host of command line tools, USB support, and pcmcia support, some wireless support.
Other Linux distros with small footprints are Puppy Linux, Tiny Core Linux, Antix, Vector Linux, SimpleLinux, etc.