Kernel Panic on a Cube


I've been using OS X on a Cube 450 for over ten days now (yep, that's right: dealers had a copy ten days ago). All went very fine, altough the OS doesn't have the speedy feel OS 9.1 gave me on my Cube. However today, the OS died out on me with a kernel panic (panic (cpu 0): init died). The only option I have is a reinstall of the Cube. All I wanna know is how can my Mac recover from a kernel panic? What's going down? Can it be repaired? Or is the only option a reinstall after all?

Cube 450 with 320mb