For the cost yes, but considering alot of HP / Gateways $800-1400 models, this statement is not true. They include GTX 260s with i5/i7s/Phenom 2s with 6+ GB of ram and much larger HDs with many of their machines now...
If they sold this in a big box store with a detailed instruction manual, then it could have a life. Selling it on an online etailer however is... fail. Most people who buy online tend to know better or soon learn better ( due to comparitive shopping being much eaiser )
@sayaa
Not to pick fights but I still have a G92 (8800GT 512 aka 9800GT ) and they struggle at 1650x1050 in most games now days. I tend to run stuff at 1280x800 tops with no AA and medium to high settings. Hell even the 4870 has trouble in some games at 1680x1050 now. I suppose its down to what you deem "playable" but in my book, they don't have the juice anymore.
Anyways I still stand by the fact Nvidia *could* have made something out of this but it just wasn't done properly to have a real shot. With proper marketing, and availability in retail stores, they'd move a fair few units. When I worked retail I ran into countless customers seeking an affordable, store bought machine that could play games reasonably.