Debian Live is a Debian SID based Live CD which comes in 3 variants, one with GNOME, one with KDE and one with XFCE desktop environments. It also comes with a netinstall only version. The Debian Live Initiative aims to create official Debian Live CDs, DVDs, USB-stick and netboot images for the Etch release (and newer).
Only unchanged, official packages
On Debian Live will be used only official packages from the Debian repository, section main or maybe contrib (the use of contrib is not decided yet). The non-free section is not part of Debian and therefore it will not be used at all for the live system.
The packages will not be changed. Whenever some package will need to be changed, that will be done in coordination with its package maintainer in Debian. They will be synced into Debian on a regular basis.
No configuration of the live system
In this phase the Debian Live system will not ship with sample or alternative configurations. All packages are used in their default configuration as they are after a regular installation of Debian.
A system for configuring packages will be soon provided using debconf in make-live allowing custom configured packages to be installed in your custom produced Debian Live images, but for official live images only default configuration will be used.
For the moment there is no hard disk installer for Debian Live, but the team wants to implement an installer (Debian Graphical Installer) in the near feature.
What is Debian?
I think everybody heard about Debian, but for those of you that are new to Linux world, Debian is a free operating system for your computer. Debian uses the Linux kernel (the core of an operating system), but most of the basic OS tools come from the GNU project. Debian GNU/Linux provides more than a pure OS: it comes with over 15 490 packages, precompiled software bundled up in a nice format for easy installation on your machine.
I have tested the KDE version of Debian Live CD and here are some screenshots:Softpedia.