VIA's got an interesting idea on their hands with this one. By including the monitor in the cost, they're most definitely going to have the cheapest reference design on the market, but ths is the part I found most interesting:

"To cut support costs, Via puts the operating system and the applications on a read-only flash memory chip, rather than the hard drive. Ideally, this will cut down on viruses and other problems, although it makes updates a little more difficult."

This type of PC is definitely going to be relegated to your parents or grandparents, as the case may be; however, for the type of user it's marketed towards, I think the idea is perfect.