> Or they could use that same amount of memory to ship 64x Macbook Neos, and probably make higher margins off the hardware volume

If it's an "or," absolutely. But if it's an or, they should be prioritising Macbooks over the Mac Mini Doug Brooks is discussing.

When we breach the "and" of memory supply sufficient to allow for more Mac minis (and Mac Studios), I think it would make sense to consider relaunching Xserve (with new branding, of course) as a consumer/small business product.