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What's your budget?
A good replacement might be the 2.0 GHz 17 inch iMac. It has a full 8x superdrive, 1GB of RAM, 160GB HD, Radeon 1600 graphics card, and all the usual refinements (built in iSight, remote, and the amazing applications).
If you want a bigger screen, you can get the Mac mini and the monitor I linked above. My little bro has a Mac Mini, and I use one at work. The're cheap, quick, and fun. Also, you get the 'that's the whole computer?!' thing, which is fun (for a time).
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