Summary: stock cooler won't fit a 1u case. But this is common, so you will have to buy a better cooler. Then again . . . who really uses the stock cooler? Also be sure to use a good thermal paste, I recommend arctic silver.
Pros: This processor is awesome on vmware. I have 2 linux vm's and 1 windows vm running using an SSD and 16GB ECC memory and the system boots in under 15 seconds with all OS's loaded and operational.
Cons: only thing that would make this better is hyper threading. But this is also the least expensive edition of the xeon processors.
Summary: Be aware that if you are putting this CPU on a motherboard that has video ports, but no video chipset, then this CPU will be absolutely worthless to you unless you are planning on installing a separate video card. The reason? This particular model of CPU has no video capabilities at all.
Summary: Early last year I decided it was time to build a NAS to store my music, movies, backups, etc. I decided to spend the extra money and go with the Xeon over the i3. The Xeon offered more cores and transcoding power even though I probably didn't need it.