Internal hard drives
If you're worried about the longevity of 2.5" drives, just boot the Mini off the external drives you already have attached to it.
If you don't want the OS on the same drive as all your media, buy a separate Firewire external drive (whatever size is the price/size sweet spot) and use that as the boot drive.
Keep in mind that if you use a Mini instead of a NAS, you *can* use the drives attached to it as a Time Machine Backup destination as well. and if you hook the mini up to your HDTV, even if you don't use the mini with Plex or somesuch to play movies to your TV, you can use the HDTV as a monitor: get a Magic Mouse and a bluetooth keyboard and you can use your HDTV as an occasional display for websurfing, writing, etc.
Me, I have a ginormous (12" x 19") Intuos Wacom tablet that's hooked up to my mini via a USB extension cable and I use my HDTV and my mini and sit on my sofa, kicked back, and I sketch or "oil paint" or what have you.
The mini is a handy little machine to have around.