Eh, it was a great product. I work with people who only got into Mac/iOS because there was a $500 option to get started. A $900 Mac mini already exists, and it comes with a screen built in.
It really never was at $499. Besides the 2014 model, which had an ultrabook processor along with soldered 4GB RAM and a 5400 RPM drive, the last time the Mac mini was $499 before that was when it was a G4 back in 2005, and was arguably a pretty underpowered product back then too.
Most people aren't going to tinker and take their machines apart, especially if it's difficult. Having a decent base product is important, and I'd argue with all the nonsense about how Tim Cook is killing apple, the argument that there are now products you just shouldn't buy is the most salient one.