Look, I know they're expensive, but it's relative.
I was honestly considering buying one of the last 20" G4 Imacs back in May, until a rep told me: "I didn't tell you this, because Apple's very secretive, but you might want to hold off a few weeks...the rumores are a new model's coming out."
The G4 would have cost $2200 US, before taxes (6%), w/o the BTO stuff I eventually added: BT, wireless kB, mouse, 512MB, Airport card. With all of that added to the G5, plus tax, it was about $2100 US with govt discount.
A lower price for a more capable machine. That's called deflation, from a consumer view, a great thing. Apple wanted an innovative design that fit even better into their mid range pricing, and they accomplished that.
Sure, I could buy two Dulls for that price, but to get something comparable, one looks to Sony, and for the same price, you can't get a 20" cinema screen, a one cord tablet system, and you're still stuck w/MS Windows, a most evil product. Talk about expensive...but let's not get into that.
Look at Sony's cheaper AIO...a design abortion, and compare it to the elegance of Apple's design. This is like comparing Cindy Crawford to Phyllis Diller.
And to all those who've criticized the video card, well, you may have a point, but this is a bit like focusing on Cindy's mole and saying: "Look closely, isn't that mole ugly?"
I'm mixing metaphors here, but you're missing the forest for the trees.