Considering there are report of the first generation having problem with the display (most likely because of heat generation) it's even more problematic because you can't expect it to last that long. And since M4 output a lot more heat, how much this thing is going to throttle and how much faster it's going to create display problem ?
No large iMac of course, that would be too cost effective compared to the eggregeriously priced Studio Display. Not that you would want one with this terrible design.
It is really a testament of modern Apple : form over function, in the name of design.
Yet this design is really not good, dumb white bezel, external PSU, annoyingly placed ports (only USB4 anyway). Basically you need a USB4 dock and an external drive to make this worthwhile, completly rendering moot the point of an all-in-one. If you are going to having cable galore, why even bother with this form factor.
In the end this thing is mostly a showroom computer or a luxury information appliance. For someone who just want a simple information appliance the price doesn't make a lot of sense, you can get something that works at half the price, the display won't be as good but it really doesn't matter that much. The display has this resolution because Apple has chosen the eazy for resolution scaling in order for them to claim to be first and "perfect".
It really is a display of modern Apple: beautiful hardware but extremely impractical and absurd pricing. I guess they want to push for the Mini/Studio + studio display for workstation use cases but the pricing is just nuts.