I actually had the pleasure of interviewing at one of these companies before. They had a take-home project, which was to choose and implement and couple enhancements to a toy app. In the subsequent conversations, we discussed how I approached the problem, details of my design, technical tradeoffs, etc -- all the sorts of things you would expect a professional sw engineer to be able to do on the job. It was challenging but fair, and I was struck by how reasonable the process was. It left a wonderful impression on me.
Take-home projects are not a perfect solution to the interview problem. A major issue is that they require candidates to have free time outside of work to complete them. Personally, though, I'd much rather spend a few hours per application working on projects than countless hours prepping for stressful whiteboarding puzzles. As a developer who prefers to digest problems slowly, I look forward to the demise of on-the-spot whiteboarding interviews.
If you work at a company that subjects candidates to such high-stress algorithmic riddles, and you have the ability to make your process more sane, please consider following the lead of cos on this list.