I think this will be one of Apple's good years in my mind (except for that Quartz Extreme thing that has got people fuming).
They listened to users for the new iMac for the most part, and they are doing the same on the server end. They got out a TiBook (although it is more expensive) that is pretty darn appealing and cool running (800Mhz, very quiet fan, cooler than previous models). Once I see 10.2, I could probably say it meets and beats 9.x in terms of features and usability (speed will remain an issue on older machines, but I won't go into that and risk off-topic flames). Education users will have a Netbootable, Netinstallable box by the start of the school year (again).
Overall, I think this rack-mount server is the mark that Apple is getting in the zone for handling their customer's wants in future products, even if the result isn't exactly what the customer dreamed it should be. Long live the rack-mount, let it be as good as people say, and let it not be the last in good steps towards a very successful product line in the future.