Here's the deal: The Zaurus has an /etc/rc.d/rc.local file, but it doesn't read it! You have to tell it to read this file, so just do this... 

cd /etc/rc.d/rc5.d 
ln -s ../rc.local S49local 

Done! Now the Zaurus will read your rc.local file on boot. To set your hostname, just put it in the rc.local file like so: 

hostname "gordon" 
(I named my Z gordon so I can "Flash Gordon"). 

I also have a swap file enabled in the rc.local. I was thinking about adding the Today app in there as well.