Part of what I do is servicing computers and installing software, so I'm very much in agreement with your position. However, not many people are, which is why white-box vendors should worry.

Service - Dell typically has next business day on-site - of course, that's subject to availability. You might be remote enough that they don't offer it where you are. OTOH, Dell tends to strike service agreements with locals, so you might be surprised.

Additional hardware comments below.

>>If I was a white-box vendor, I'd be afraid - very afraid.
>
>A question of opinion, I think! I, for one, would much rather prefer buying a "white box". Granted, I like to build my computer rather than buy a pre-made. Preinstalled software is not important at all for me, since the first thing I would do is to format the hard drive anyway!
>
>I prefer "white box" because I can choose the components I want: ASUS motherboard, video and CDROM, Seagate hard drive, ViewSonic monitor, Microsoft Natural Keyboard, USRobotics modem, etc. Looking at the provided description of the Dell computer, I wouldn't want it because too many components are unnamed - not all components are of the same quality, and I've too often seen computers crash or perform poorly because of cheap components. I'm not an expert, but I know my way around hardware.
>
>White box have another advantage for me: I live 400km (250 miles?) from the nearest major city, which would be Ottawa. Should a problem arise, I can have my white box serviced the same day, so I'd loose my computer for about a day. Can't say the same with mail-ordered or one bought in a large store.
>
>I do realize not everyone thinks as I do. But since Peter asked what we think...
>
>>> Dimension® L Series, Intel® Celeron™ Processor at 600 MHz
** Check the case, it might not have enough bays/open bays for your devices, or not have much or any expandability. Optiplex or 4100 series are more expandable.
>>> Memory: 256MB SDRAM
>>> Video Card: Intel 3D AGP Graphics IV
>Hardly a perfomant video board. If you want to play games, you're going to cry soon!
** nVidia TNT2 / 32MB is available for about CAN$50 upgrade, well worth it. Integrated video also hogs some system RAM, not a big issue if you have 256MB
>>> Hard Drive: 20GB Ultra ATA Hard Drive (5400 RPM)
>5400 RPM is no longer a fast hard drive. Ultra DMA33? 66? 100?
** 7200 RPM is as fast as ATA goes, not a huge improvement over 5400. All current drives are at least UDMA66, most are UDMA100, but the latter again is not a large improvement over the former in real systems
>>> Operating System: NEW Microsoft® Windows® 2000 Professional
>>> Network Card: Integrated Intel® 10/100 Ethernet Controller
>Integrated is not a good thing, IMHO. Can't be changed if needed.
** Actually an excellent feature. Doesn't hog up a PCI slot, and can be disabled if necessary.
>>> Modem: V.90/56K PCI DataFax Modem for Windows, NT
>No brand again. Could be a WinModem, which is bad.
** Almost certainly is a WinModem. Hogs CPU and can't work with any OS other than Windows (e.g. DOS box).
>>> CD/DVD ROM Drive: 8x/4x/32x CD-RW Drive
>>> Sound Card: Soundblaster 64V Integrated
>Integrated. 'nough said!
** Same comment as for the Ethernet.
>>> Speakers: harman/kardon Speakers
>>> Bundled Software: Microsoft® Office 2000 Small Business
>>> Zip Drives: 100MB Zip Drive with One Disk