Something like this might be good for a smaller business with machines on-site. You could replace a rack of beefy heat generating boxes with a few of these and save on power+AC bills.

From a data center perspective, I think it has some merit too. If they produce the machines in small little blade-type servers that you can just plug into a box, wouldn't that simplify maintenance? And for availability, if a box dies, it doesn't take down 20 different vms with it.