I really have no bias for one particular livecd project over another.
What I'm looking for, though, is something that you can build entirely
natively on Debian. If morphix-in-debian is an alternative the
knoppix-debian folks should be considering, you should make a case for
it on their list. But without integration into Debian, neither Knoppix
nor Morphix are suitable because simply put, they aren't Debian.
That's not to say I'm not interested in making a disk as a discussion
piece using existing technology: Knoppix, Morphix, Ubuntu, or whatever
you want to try. But ultimately, we need a native Debian livecd because
otherwise maintenance and development are horribly complicated, and the
end user will not be served well.