I agree that, compared to the subtle Mac Mini light, the iomega light is huge and bright. At night it is a beacon and is distracting. I just bought the 1 TB minimax with the white light.
My current solution: I dug through the mac mini box and found the ubiquitous Apple stickers that come with every product. I cut out two little rectangles of white off the apple. And these I applied, one on top of the other, directly over the white rectangle that encases the glowing "i" on the drive.
These stickers are not completely opaque, so there is still a visible "i" but it is much more subtle than before, and difficult to detect.
If I could design a product meant for the mac mini I would not put my logo and a bright light right in front, that offends the sensibilities of mini users.
Hope that helps!
Rick