Server, firewall, toy - of course TC can do
Media center would be otherwise possible, but your choice of chipset is notoriously bad under linux. It's known as Poulsbo, and while being low-power and having nice video accel, it has no open drivers. It's not really an Intel chip, it's a PowerVR chip licensed by Intel.
There are binary drivers for an older Xorg release, meaning it wouldn't work with the 2-3 latest Ubuntu releases either.
The CPU is not enough to play 720p without any chipset accel. With XV it should be enough for regular codecs, xvid and so, but you won't get even XV without the driver.
For media center usage it's pretty much restricted to an old version of Ubuntu, since the binary drivers were built for it.