I just see one really big flaw with everyone that thinks that a Mac Mini should be priced like a Dell or HP. Yes, Dell/HP's have everything on them. Yes, they are only $500 give or take. But the quality of parts used is horrible. I work at a PC Shop for a living, and fix Dell's and HP's all day. It seems it's almost all I work on. Most of the time, the PSU or MOBO go out and you have to tell them that they are SOL. I used to own a Mac Mini, and I never had any problems with it. It was a G4 and ran everything up to par. Those Dell's and HP's usually have really crappy processors in them also. The Mac Mini has the Core 2 Duo, and from the sounds of it, will soon have the Penryn. This is a great improvement over a Intel Celeron that's in most Low Cost Dell/HP's.
For £499, you can get a Dell Core 2 duo with dedicated graphics. Although, I am sure quality takes a dive for other parts of the computer.