PC/Squeezebox v Mac Mini

O.K. I've got two options for a music server setup. Since I'll be using the DAC in my Rotel tuner, my goal is simply to get the music data cleanly from the HD to the Rotel, and to control the music jukebox in the living room (where the stereo equipment is) with a nice GUI ("graphical user interface" or "menu" for non computer geeks).

Option 1: PC/Squeezebox - Purchase a Slim Devices Squeezebox 3 for my living room (where the audio equipment is) and an additional HD for my existing PC in my den. Communicate wirelessly between the two and connect the SB to the Rotel via toslink (optical cable).

This option is about $400. From what I've read, sound quality should be excellent, but computer in the den will always need to be on and the door of the desk it is in will always need to be open. GUI (menus) on the SB may be small on the couch (18 feet away).

Option 2: Mac Mini - Purchase a Mac Mini and place in the living room with the Rotel. Connect the mini to the rotel with a "mini optical-to-toslink" cable, and to the Plasma display via DVI.

This option is about $700 (with cable). Better GUI for music selection plus DVD and photo capability. There is some question as to the quality of the digital out (which I'm not sure if that is a legitimate question or not). "Always on" should not be a problem as the box will not be in a closed environment, and should be quiet in the living room). The question here is really sound quality and price.

Option 3: Other devices. Are there other network wireless devices with toslink out that have a GUI that can control the player in the living room?

Any opinions and/or experience using the above equipment would be appreciated.