I’m eyeing the i5 though, with upgradeable ram and egpu / fast storage through tb3 that one could last me a decade.
Yeah, it's ridiculous. Two minutes of searching and I found a box with a better CPU, 16 GiB of RAM, 512 GiB of flash, and 1 TiB of HDD for a slightly lower price. The Apple Tax is real, at least for their desktops.
(I have never seen the point of these tiny PCs. You can throw a desktop in a corner where you'll never have to see it. If I'm allowed to buy a normal case, I'm sure I could trounce that Mac for about $400.)
The Mac Mini is indeed expensive for its specs, but it's also extremely small for those specs: desktop components in a sub-mini-ITX form factor. If you wanted to compare it to similar PCs, you're looking at the custom offerings from Zotac, etc. which also command a high premium.