yes you can do this with kiwi. I documented a ram only image here
http://doc.opensuse.org/projects/kiwi/doc/#sec.pxe.ram-only-image
It's a bit different from your system because it loads a kernel
and a initrd and the initrd code then deploys the system image
into a ramdisk and switches to it.
iirc you are just using an initrd and work within that system.
You can also do this with the initrd build by kiwi but by
default I don't expose a shell. But you can write a hook script
which just opens a shell. I suggest to use the postnetwork
hook if you plan to work from inside the initrd. How to use
hooks to customize the initrd is documented here:
http://doc.opensuse.org/projects/kiwi/doc/#sec.hooks
my recommendation is not to use the initrd as a system to work
with though
Hope that helps
Regards,
Marcus
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