Loved the idea of blade servers, but they were targeted to people who needed very high compute in small footprints, and we both didn't have high compute requirements and were power/footprint constrained (we could get more power but cost/watt would go up because of cooling density).
The Twin^2 was nice because it amortized the cost of redundant power supplies over 4 machines, but didn't have the cost overhead of big backplanes or fancy layouts to get a lot of CPU+RAM in a small physical space.
Once populated a 4 node chassis was around $750/node including CPU and RAM and 2x SATA drives, it was within $100 of the price of a similar 1U server. We had around 10 cabinets in a data center when I left the company. It was, IMHO, a pretty good deal to get a dedicated box with 24x7 monitoring and sysadmin services including updates and backups at $150/mo.