Ok Everyone... take a deep breath and just relax a minute...
Think about it...
First, Will the new Mac Mini stay on par with a Macbook Pro or a Mac Pro? Of course not... but Apple is not going to push a system out the door that doesn't perform.
Second, this is an entry level system. It will be on the minimum edge of computing for the price-point they're aiming for. Keep your expectations realistic and don't expect everything for next to nothing!
Third, think about this... Soon Apple will be releasing Snow Leopard which makes use of multiple processing units including graphics processors... It's feasible in my mind that the reason they are holding out on releasing the Mac Mini is because they are waiting for Snow Leopard to be released. If Snow Leopard performs as described, it may very well make up for the "short-comings" everyone perceives in the Atom processor and could very well be a reasonably decent entry-level machine. End-user performance is all that REALLY matters doesn't it? Apple's NOT going to ignore that. In ANY system, max out the RAM and you'll significantly speed up your system's performance which is where it really counts. I have an old Mac Mini that performs just fine as a media center and there's no chance in hell that Apple is going to release a NEW computer that can't perform to at LEAST the current specs, if not better.
That's my perspective on this matter and I have no worries that Apple won't reach my expectations, but I keep my expectations anchored closer to reality, so I recommend that you reflect on that before you freak out about what processor Apple's going to use.
Peace in '09,
~ Will