You've got to be kidding me. I wanted dedicated graphics, too, but integrated means longer battery life and less heat. Plus the X1600 in the MBP is down clocked anyway, I imagine just because of the heat. Put 2GB memory in the MacBook and integrated graphics really isn't that big of a deal, especially when you can get a 2.0GHz processor instead of a 1.66 that most folks thought.
Look at all the other features this retained of the PB line - screen spanning, DVI out, operate with book closed, digital audio capabilities -- IMHO this is a great step up from the iBook AND much better than the previous 1.5GHz PowerBook 12".
Case may be important to some. But have you ever used an iBook? I have, and actually thought it to be quite a nice little machine, white color and all. I'm pretty stoked over these new MacBooks.
OK, time to get some work done until I leave to go buy my new MacBook!!!