OEMs seem to like them. Seriously, they do. They let the OEM check off all kinds of functionality checkboxes, they're cheap, and . . . they're cheap. And, for the most part, they are faster than Grandma's Netburst Celeron that she is replacing so why not? Sadly, there's a fairly long list of older CPUs that these chips do not exceed in performance.
And let's face it, those desktops with E1 and E2 chips inside really aren't classic desktops anyway, they are just AiOs in desktop clothing. It would be better if, say, 5350s were going into these machines, but noooo can't have that. Not that the 5350 is stupendous or anything. It'd just be better than the dual-core Jaguars.