The main problem..
..that I see with upgrading the G5's is the front-side bus (FSB). In x86 PC's, each class of processors (Pentium4, AthlonXP, ...) all have the same speed FSB (400MHz, 533MHz, 800Mhz) for a number of different processor speeds. In the case of the G5, each processor has a different speed FSB. This is a problem. Motherboards are rated to support a certain maximum speed FSB. You cannot run an 800MHz FSB Pentium4 on the 533MHz motherboards. Some, however, are able to be overclocked to support the new FSB. For instance, eventhough Intel rated all of its 533MHz FSB motherboards to run at 533MHz, some of them can, in fact, run at 800MHz. Most of then will run at 600 or something, but a few can do 800. I'm sure Apple is doing the same with it's motherboards. It's called binning. They "bin" the motherboards according to how fast they can clock the FSB. The 1.6GHz motherboards (with an 800MHz FBS) will be the ones that can only do 800MHz. The 1.8GHz can pull 900 and so on. So, if you get a 1.6GHz G5, it will come with a motherboard that is rated to do 800MHz. It could possibly do 900Mhz (that's only a 12.5% speed bump) rather stable, but it's not likely to do 1Ghz or else Apple would have binned that for the 2GHz processors or at least the 1.8GHz ones. Anyways, I think Apple is in a bit of a pickle by having such a varying array of FSB speeds. Just my two cents.