Why are server setups so costly relative to CDP's?

One additional advantage of the server is that it allows to rip CD as data reading multiple times until proper checksum is obtained. Most CDPs cannot do this working in real time. It might be important with less than perfect CDs. CDs will get scratched but HD data with proper backups will last forever.

Server is also convenient/allowing other formats to be played and playlists or catalogs to be created. Finding CD on the server is a matter of seconds.

Mrtennis - It depends on the DAC. Jitter rejecting DACs like Benchmark DAC1 might sound different with different transports but perhaps not because of jitter. It was reported many times that it often sounds better with cheap DVD player than expensive transport (that has lower jitter). It might be that cheap DVD player have more sensitive laser optics (DVD players have good tracking) or transport is not bit-transparent (DSP, digital volume control etc) or one of the creates ground loops in the system etc.

For DACs other than asynchronous-upsampling (jitter rejecting) transport is very important - I agree.

Tgrisham - I have Mac Mini + Airport Express + Benchmark DAC1 + Power Amp. It really cost me $100 (Airport Express) since I have/use computer anyway and My Benchmark DAC1 serves as a Preamp (has volume control).