looks good but at the price point I think Raspberry Pi flashed with SqueezePlug will be a cheaper solution
IMHO, it will always be cheaper and better to DIY, especially when it comes to a PC based solution where parts are abundant and standardized, and interconnectivity is mostly reliable.
The real value of a product like this is the overall package itself - how well it works out of the box, and how easy it is to use from the get-go. After sales support would also arguably be a factor for people who do not have the technical knowledge in troubleshooting, or are not interested in delving into the minutae. We see the same with gaming systems for example. Companies like Alienware often sell desktop gaming PCs for a $2000 when the system can arguably built for half that amount by simply choosing the right components and assembling it.
At least in the US, labor is expensive so an assembled system is more attractive. In India, you can get someone else to assemble it for a very small amount of money (say, 1k).
Personally, I find these custom built fully assembled systems such as "music servers" very alluring, mainly because of lack of time and having to deal with a newborn kid. However, I've only seen them priced at ridiculous levels - with none priced below $1k. Even this one is priced somewhat nicely at $500 but if you include the power supply, it jumps to the same price of $1k. I wonder why no one builds a music server priced at say, the cost of a Squeezebox - in the range of $200-$300. I don't think it is difficult to do as even laptops are available in this price range, and I'm only expecting a barebones system (I can always add storage via external USB and hook it up to my TV via HDMI).
All I want is a silent box, well built but compact chassis, decent sound quality, and enough connectivity to act as a source.
Maybe, I'm missing something. Or this is the "audiophile tax" that we need to pay.