You know I'm not much of a hardware guy. The customer reviews are good. I'm not sure what having the power supply on the outside amounts to? Another box? Part of the plug wiring? According to the reviews, you might also want to stick with your current full size/standard keyboard.
I also don't know what the Atom processor is. Next time I shop, I will be looking for at least "2 Quad". Also, as an extremely satisfied Gateway user, it would take a lot to get me to buy an a different brand. Assuming I had a suitable monitor, in the same price range, I would be more likely to go for something like:
http://reviews.cnet.com/desktops/gateway-sx2800-01/4505-3118_7-33699400.html?tag=contentMain;contentBodyIt is one of the top three CNET rated budget pcs. It's $50 more. The hard drive is 5x larger.
Processor Intel® Core™2 Quad Processor3 Q8200 (2.33GHz, 1333MHz FSB, 4MB L2 cache)
Operating System Genuine Microsoft® Windows Vista® Home Premium (64-bit) with SP11
Memory 4096MB 800MHz DDR3 Memory (2 x 2048MB Modules)9
Chassis Modern and Sophisticated Small Form Factor Design
Hard Drive 640GB 7200RPM SATA hard drive5
I would ask someone if I could wipe it and install my copy of XP. I guess you have that available since yours was recently reinstalled. If not, I guess I would even consider using Vista, again after asking questions. Usually Gateway gives a lot of options, but I didn't find one for the OS on this model.
You know HP makes Compaq. They have been around for a long time. I always hated tech'ing HPs because they had so many gizmos and OEM modifications; and seemed to have more issues with "Windows" in general. We probably referred more HP users to Microsoft than any other brand. (I tech'd Internet.) But the one you show here doesn't come with any application software, so it may be pretty bare bones on those issues. OTOH, I had a roommate who was a serial Compaq owner (purchasing a new one to replace her old one).
Here's the review site for CNET if you want to take a look around.
http://reviews.cnet.com/desktop-computers/?tag=leftColumnArea.0Did your tech come by? Does he have an opinion about the Compaq? He knows you personally.
edit: After thinking, installing HP XP on a Gateway might not be wise. I DID use a Dell Windows '98 on a generic computer, replacing '95. Again, a question to run by someone more knowledgeable than I (research).