Actually, I kind of looked at it in the opposite. With the FCC getting involved, older gigabit routers with enough memory and the right CPU for custom OSs are going to get to be quite popular I would imagine but time will tell.
I've worked with DD-WRT on and off for a long time and although I looked at Tomato (only glanced at OpenWRT) long ago, I forgot why I didn't go there?
I have to admit, I haven't worked with Ubiquiti routers much at all. Do their entry level routers allow vlan/subnetting by port, iptables or equal? I really need to look into them more.
I service quite a bit of residential (don't roll your eyes - someone's got to do it - heh!) where home offices and extended guest networks (think acres and outlying buildings) are frequent. Using some of these old routers is an economical approach that can be used where $$$ is a big concern for the customer as they are almost disposable. As stated by both of us earlier, they're not really ready for production and business environments. But, I've never really tried any of the custom router OSs on anything but low-end residential equipment.
Thanks for the feedback all-