What are some specific[1] real-world code[2]/design examples, personal anecdotes, mistakes learned (with more emphasis on personal anecdotes, mistakes learned instead of pointing out third-party software) that best illustrate the programming philosophy of Unix? For a start, here's Raymond's summarization of the philosophy from The Art of Unix Programming:
Rule of Modularity: Write simple parts connected by clean interfaces.
Rule of Clarity: Clarity is better than cleverness.
Rule of Composition: Design programs to be connected to other programs.
Rule of Separation: Separate policy from mechanism; separate interfaces from engines.
Rule of Simplicity: Design for simplicity; add complexity only where you must.
Rule of Parsimony: Write a big program only when it is clear by demonstration that nothing else will do.
Rule of Transparency: Design for visibility to make inspection and debugging easier.
Rule of Robustness: Robustness is the child of transparency and simplicity.
Rule of Representation: Fold knowledge into data so program logic can be stupid and robust.
Rule of Least Surprise: In interface design, always do the least surprising thing.
Rule of Silence: When a program has nothing surprising to say, it should say nothing.
Rule of Repair: When you must fail, fail noisily and as soon as possible.
Rule of Economy: Programmer time is expensive; conserve it in preference to machine time.
Rule of Generation: Avoid hand-hacking; write programs to write programs when you can.
Rule of Optimization: Prototype before polishing. Get it working before you optimize it.
Rule of Diversity: Distrust all claims for “one true way”.
Rule of Extensibility: Design for the future, because it will be here sooner than you think.
[1]: just saying "Linux" (or Unix tools, or my pet project Foo) is not enough; what is it about Linux that makes it an example of the Unix programming philosophy? In a similar manner, just saying "Linux is modular" too is disingenuous; again - what makes linux follow the rule of modularity as listed here? (for eg: lkm, etc.) The devil is in the details.
[2]: This question is not about merely "code" examples as S.Lott seems to believe. The question clearly also states design, personal anecdotes and mistakes learned, with more emphasis on the later two (for which no answer has been given yet).