There are hundreds of distributions, each with their own philosophy and targeted uses. I would suggest either Ubuntu or Linux Mint for a newbie. Personally, I use Fedora.
I ran DLS (Darn Small Linux) for a long time a while back... :grin: and was only doing terminal sessions for storage... it was an 80MB OS!
I like the newest version of Ubuntu. I love how they integrate IM's and everything into the OS. And anything you don't like you can absolutely change up. I just hate how sometimes it JUST doesnt work. I tried setting up my Boxee on a linux setup and the sound just wouldn't work right. Went to Windows 7 a year ago and am now bored and may go back to the latest version of Ubuntu.