Later on, when I went to show my cube-neighbor the problem (he also has an N800, and iGo ... and is getting a free N810 for being in their usability study and promo work), it worked fine.

It wasn't the "waking from sleep" thing - it would happen at the end of a command line, so all of the other keys were awake and fine. And I had no problems using the enter key in other apps. Just in xterm.

But, since I went to show my friend, they enter key has been working fine.

Go figure.