Slow uploads to running Android emulator
As others have posted, just clicking around in the emulator while uploading drastically improves the upload speed. I had the same problem and Googled for an answer, and trying out this trick helped me. I'm running a 2.3.3 AVD.
My new discovery is a small "hack" how you can make your upload faster. I realized that the cases when the upload was faster were caused by my interaction. So when I upload new app without active working with emulator, it is slow. But when I work with it (testing my application, exiting, opening applications list, etc.), the upload is MUCH faster - in my case approx. 15seconds instead nearly 2 minutes.
So I think, that the problem is somehow in performance settings of the emulator. When I do nothing, it thinks no big performance is needed, emulator is switched to some economic state, so also my upload is slow.
A better solution:
Go to Run -> Run Configurations... -> Target Tab -> Additional Emulator Command Line Options. Add there:
-netspeed full -netdelay none
Now close the emulator and run it again.
After doing this the time for uploading went from 2 minutes to 8 seconds.
Edit:I have also found that quitting Skype makes my emulator upload much faster.