udev is starting too slowly with SELinux enabled, because: "this is at least partly due to the placement of the matchpathcon_init call in udev, which causes it to read and process the file contexts configuration in every child process that it forks rather than happening once in the parent." This is causing kernel developers to disable SELinux, leading to bugs in their code when SELinux is enabled by users. This also seems to be causing significant slowdown on OLPC boards.
Here we go... fixed in udev-095-6 My start_udev time went down from 7.98s to 4.80s :-)