Intel Xserves are nowhere as noisy as PowerPC models. I'd say that mine sounds about the same as a small running AC compressor unit, instead of a few jet planes taking off as s the case with the latter. When I'm at the console, it can't be heard over the music I play, and when I'm away from its desk using my MBP, its humming gives me the "oh how I wish I was the admin of some server cluster" warm feeling : It doesn't bother me much, I put it to sleep when I'm turning in.

No, I am not going to rack it up (no rack at home) and yes, it's being used as my only Intel desktop Mac.

Call my crazy but I do need my desktop to be more reliable than my server, I'd lose unsaved work if my desktop crashed, but if my server crashed, it would be nowhere as bothersome (only for downloads, IRC, and central file repository that sees only light usage)

Is that your rack at your workplace? I see an IBM server of some sort that's using an Ultrabay optical drive (is it hotswappable?), the G5 (cool blinkenlights!), and a HP drive array. (How much space?)