Am I missing something here? I just got done playing Halo on my new mid-2007 iMac 20" with the Radeon 2400, and the game played plenty smooth and fun.
That's good to hear- all those of us who are thinking about getting the new iMac have to go on are the numbers, hence the concern, but if the real-world experience is as you suggest, then maybe all is not lost. My plan was to sink some cash into a 2.8 24" iMac with a 23" Cinema display attached. That way I can run Parallels in the 23" for playing Windows games and running Windows apps, while spending most of my time in OSX on the iMac screen. As far as I'm concerned, if this is possible without massively degraded performance in Parallels I'll be over the moon and Apple will have a sale, but there's a significant amount of doom and gloom on these forums, and the general response seems to be "Macs aren't for games, get an XBox 360" and other less-than-useful comments. I look forward to seeing a few more positive reviews of the iMac's performance!