Interesting, but it seems to me that virtualization probably accomplishes all the goals, cheaper.
Instead of getting 100% of a cheap sipping server, get 12.5% of one that has economies of scale on manufacturing and operation. (You can use the other 87.5% for other projects. If you don't have enough projects to justify use of one full commodity server, you don't care about this discussion anyhow, but renting a VPS might work out for you.)
Yeah, until these low-power computers improve a whole lot, I agree. I bought a few of those atoms to try 'em out, you know, people will pay a good bit more for their own dedicated server than they will for a VPS. Once you put it together, the atom, with a limit of 2GiB ram, draws around 50 watts under load. (I can only imagine most of that is power supply inefficiency and chipset badness) one of my 8 core low-power dual-opterons eats about 4x as much power, but I get 32GiB ram and many times the power of 4 puny atoms.
Until intel quits nerfing the atom (and maybe even then) virtualizing a big server is going to get you a whole lot more power for a whole lot less fuss.
the big problem here is Intel's nerfing of the atom by pairing it with a very thirsty chipset. Note, you buy an atom board, the Atom CPU has a passive heat sink; the chipset has an active fan.
I imagine this will change once Via gets a competitive chip in a server form factor.
Instead of getting 100% of a cheap sipping server, get 12.5% of one that has economies of scale on manufacturing and operation. (You can use the other 87.5% for other projects. If you don't have enough projects to justify use of one full commodity server, you don't care about this discussion anyhow, but renting a VPS might work out for you.)