1. HP Pavillions are not built the same way. I’ve owned a few – they hang regularly (not just due to Windows) and they are VERY limited boxes.
2. The Mac Mini is targeted as a second computer for someone who wants to experience the Mac for the first time and already has the other stuff (Monitor, keyboard, mouse).
Apple still has things to do to get it right (read MS Monitor for a good analysis of the challenges ahead) and the Mac mini is not going to cause a huge dent in the Windows market share but would you pay $499 for a machine that is extremely stable and “just works”?
It will be interesting to see how inventory levels are by the start of summer.