OK...let's get a couple of things cleared up here...there is not an OleDbDataSourceItem...when I posted this, I was alluding to the fact that you would be using a data source that using using the OleDbCommands. SF comes with a base class called DbDataSourceItem. There is not a generic OleDbDataSourceItem as each OleDbProvider may have different requirements and commands (such as Access and VFP). But you can create your own very quickly. Just open the SF source, and go to the Base assembly. In that assembly there is a folder called Data\DataSourceClasses. You will find all of the SF pre-plumbed data source classes there. Just copy the Access or VFP source code and then go into your assembly and create your own data source item called WhateverDataSourceItem that is specific to the compact environment that you are trying to use.
Using SqlDataSourceItem on Embedded Editions
Now if I am not mistaken, if you are trying to use SQL Server Everywhere (or a compact edition of SQL Server) then you can use the SqlDataSourceItem and then specify the OLEDB provider or other supported SQL provider as part of your connection string and it will work just fine. Ths SQLCommands should support the SQL Everywhere editions as I am pretty confident that this is the approach a number of our developers are using for this embedded data source. But in the case that you are using something other than an SQL edition, then you will need to create the data source mentioned above.
This can also be impacted by the version of the Mobile SDK being used, etc.
Also, there is more than one way to connect to a Mobile version of SQL Server...you can use the SqlCeXXX commands and namespaces which would require you to create your own data source (mentioned above) or to use OLEDB or ODBC, which both of the latter mentioned should be able to use the standard SQLConnection and SQLCommand as well as the SqlDataSourceItem classes.
Finally, Keith, the DDT does not support a compact or embedded edition of SQL Server...this is a totally different platform and would require major changes to the DDT in order to work.