Oh wow! That's an awesome product. Eliminating the cat5 cable, enabling digital output, sleek, stylish desgn. Awesome. With just about every audio codec available, there shouldn't be any problems throwing a top-notch party all night long. I'd love to have such a product in my home.
I do have a couple questions revolving around the wireless networking. With the computer constantly sending data to the Squeezebox, how much is internet browsing affected? How taxing is it on to the computer? You would be using some bandwidth to send data. Was internet browsing hindered at all? If you're going to have a computer for music transmission only, how big of a step would it be to make it an HTPC? Not much at all, I think.
I also know that you're using your main pc to transmit with, and why not? Looks like the Squeezebox is also a great option if there's no room in the entertainment center for a HTPC.
I loved that VU "Screen Saver". Does it react to music? I think having an active equalizer of the output music would be awesome.