Hi bschiett,
i also use linux in the most cases.
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I just got an AT91SAM7S64-IAR-EK which comes with a demo version of embedded workbench
I have also such a board. The IAR software wasn't a demo version. You have to register to get a code limited (32 kByte) version. Are you sure that you have a demo version?
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I suppose I can use the gnu arm tools with my board.
Yes, you can.
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what should I use for development environment (IDE)
You can try eclipse (it is jave based and there a C/ C++ plugins avaiable). Possible is also kdevelop, emacs ...
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how can I use the IAR j-link cable with linux
Sorry i have no idea.
I use my own hardware and software to download the code. I can only load and start smal programs into the internal RAM at the moment .
Best regards,
Edi