XServe RAID works fine in most any environment, including SMB. Works great with XServe and tower macs obviously, but also works well with Win Server, Solaris, Unix, Linux, Novell, etc...
I honestly don't think it is cost competative with other iSCSI, SAS, Windows Storage Server solutions out there, but when working in an OS X environment, I still think it is a no brainer. It has also drastically lost the performance advantages that it once held with other non-Apple storage products. But it is still capbable of working in HD video post production environments, so it doesn't really lack anything specifically needed right now.