Peter,
You could certainly write your own serializer to do this. I haven't
written a serializer, but I'm pretty sure the input needs to be SAX
events, so the only ways you could use XSLT to output LaTeX is if you
did the transformation within the serializer, or wrapped the LaTeX in
XML.
Anot
Is it possible to specify a pipeline which instantiates a non-SAX
transformation (eg running some arbitrary commandline program on
the pipeline content or a generated file and serving the result)?
An example would be to transform XML to LaTeX with XSLT and then
run LaTeX in order to serve DVI ins