Price does not dictate quailty. Price is often what it cost to manufacture the computer+marketing. As technology moves forward they learn to build things much faster and cheaper. Being a "micro" computer there are far less materials in construction thus lower cost. Lets compare the two computers:
New Server --------------- Old Server
Cost: $35 | $750 (for it's time though less expensive now)
CPU: 1Gzh | 1Gzh (About the same speed +/-)
Vid: VideoCore IV | ATI Rage 128 (The Pi can stream 1080p and 3D video easily. The Rage can't even do 480 in hardware. The Pi's video WAY WAY faster)
Power: .7 watt | 450 watts (in KWh costs that is roughly $400+/year old server in electric compared to less than $1/year for the Raspberry Pi!).
Storage: 8 GB | 500 GB (Old server has more. But with OS+servers+data < 3GB. Plus the Pi can take a bigger SD card or hard drive).
RAM 256MB | 4 GB (The old server has MUCH more ram. But the OS and all servers running use less than 100 Megs ram)
The point of this exercise is twofold. First to upgrade servers and improve efficiency of Furtopia's servers. Second to teach people that with advances in modern computers you can build a VERY fast and efficient server computer for very little money. I hope it will encourage others to experment and have fun learning to code and run their own platform/services.