blackrhino on v7 –
1) DHCP is supported. I use static IP though even with my DHCP router, and things work fine.
2) I think my ps2linux distro base package (which has x-windows, but not the auto-start scripts in /usr/local/bin) expands to around 300MB or so. With the /usr/local package it comes out to around 600MB.
3) My usb hub works fine (4-way splitter) so at least some hubs work.
For the FAT PS2, I HIGHLY recommend getting an IDE hard drive and PS network adapter. Used IDE drives are cheap and plentiful, although the network adapter is getting scarcer (it is still found on ebay, amazon, etc.)
USB PS2-Linux is difficult to install and reads/writes files at a theoretical maximum of 12 Mbps, which is a couple factors slower than hard drive access. PS2-Linux is slow enough, that the USB version is likely to disappoint. For slim PS2 owners who have no choice, if kernelloader is updated with a new network driver, maybe network-based boot will be possible to speed things up.
PS2 v9 NTSC, PS2 v12 NTSC, PS2 v15 VESA