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Heh, I remember getting my desktop machine in 2003 after graduating High School and thinking "Wow 512 MB RAM, I'll never need more than that"

Kind of accurate, that computer ran everything I had at the time perfectly including a few games that I had never gotten to work right on my older computer.

I don't think I got a DVD writer until 2008. I had this really cool media machine with a TV Tuner, lightscribe (etching software HP made that used laser to label a CD) and 2x250 GB HDD mainly for DVRing stuff. Media remote too. I need to build another media machine with a TV tuner I think. Now that everything is wireless though, it just doesn't seem as cool.
 
CNET article from 2004.

What that article doesn't mention is exactly why they switched to the Xserves. The Power Mac G5s did not use ECC RAM, which led to slight errors in calculation. The Xserves did use ECC RAM, so they were much more useful for something like this (and better suited to being in a datacenter).
 
I remember seeing the promotional video Apple had for System X and being amazed at the thing. To create a top 3 supercomputer using PowerMacs that anyone could buy was something of a dream. It really solidified that Apple was building state of the art systems. 2003 was an exciting time in CPU history, and Apple with IBM was actually leading the way. They're System G with Mac Pros was equally amazing as it only used about a 3rd of the physical machines and ran slightly faster. They're new HokieSpeed supercomputer is just insane.
 
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