> One problem I have with this approach is that people begin to personify machines, excusing their behavior.
Does that hold with all themes? My first employer named computers after aircraft parts; easy to remember, made it clear that people were talking about a computer rather than anything else, but it never seemed to lead us to personify them.
> I'd argue that you shouldn't care about specific machines unless they're a problem
True once you've scaled up to the point that all your services are distributed, but before then it's worth having an awareness of what runs on what box. Memorable names help with that.
One other downside you've missed with location-based is that it makes it harder to move a machine.