I'd like to see the next generation mini with 3 options:
$399
Core Solo 1.5 (unless the Core Duo 1.66 is TRULY the same price to Apple)
512mb RAM
60gb HDD
Combo drive (no upgrade option)
x3000 GPU
OPTIONAL: AE, BT
$549
Core Duo 1.66
1gb RAM
80gb HDD
Combo drive (option for SD)
x3000
AE, BT
$699
Core Duo 1.83ghz
1gb RAM
100gb HDD
SD
x3000
AE, BT
I think these would be a good value, and compare well to the iMacs in terms of price to performance. Keep the lower clocked CD (not C2D) chips to control prices, bump the RAM on higher end models (makes them better buys in store with no CTO), use the new integrated GPU which shouldn't add any/much cost but will add some performance and therefor value. Strip out features on the low end JUST to get the cheapest Mac ever. Put something between the high and low end too, the $200 spread between them now is just a bit much, especially when the low end starts at $600.
I'm still holding out that Apple will put the 17" WS LCD from the iMac into a iPod styled case, take out the FW/USB hub and ideally add an iPod dock - $249. I'd like to see some bundling from Apple as well. Put a keyboard, mouse, 17" LCD in a single box for $279 and offer it in stores. Give away a shuffle if you buy a mini+LCD/keyb/mouse in the same purchase. That's a full system, with iPod, for <$700-1000, which makes it compete with the iMac, but not so much that you wouldn't look at the iMac for the 'real' GPU, faster HDD, bigger screens, faster C2D CPU.
OK, enough time wasted thinking about this.