The Ångström Distribution

For people wanting to setup a development environment for Ångström things got a lot easier. Hop over to:

http://git.angstrom-distribution.org/cgi-bin/cgit.cgi/setup-scripts/

git clone the repo and run the script. It is mostly self documenting and automates a number of steps from http://www.angstrom-distribution.org/building-angstrom that people struggle with.
It has seem a fair bit of testing, but it isn't "1.0" quality yet, so feedback to the angstrom-devel is very welcome.

If you only need a toolchain things are even easier, check http://www.angstrom-distribution.org/toolchains/ for prebuilt toolchains and instructions.

Another option is to use narcissus to generate a toolchain for you. Select 'advanced' on the narcissus page:

and select 'toolchain' or 'sdk' in the SDK type section: