I have been ignoring Vista as a possibility for my home. My experiences with it at work and with firends and family that have used it have been frustrating. From troubles with getting an ADSL modem working reliably, to the amount of resources the thing seemed to chew. I was waiting for Vista SP1 before I even considered installing it on one of my home machines. The latest news on SP1 though makes me rethink this timing as well.
Information week posted last week that SP1 may not offer much in the way of new functionality, being mostly tweaks and bug fixes. Looking around I found a post on Windows Vista Blog that details what will make it to SP1. This confirms that SP1 will be fixes (Reliabilty and Performance improvemets), tweaks (Admin experience improvements) and some more hardware support.
I think MS has realised that many people wait for SP1 before even considering using a new product. Rather than add the new features that will make it a viable option, they look like they are getting an SP out and adoption up. It looks like I might be waiting until SP2 before I consider Vista now.