Why is the Cyprus experiment important?

In Chapter 16 of Brave New World,
Mustapha Mond tells of a colony entirely of Alphas which obviously juxtaposes the Savage
Reservation (made up of outcasts entirely).  His conclusion is that the mini-utopia of
Cyprus failed because of unequal distribution of leaders to workers: none of the Alphas
wanted to work.  He says the perfect society is based on the iceberg: one-ninth above
(Alphas) with nine-tenths below (Betas, Gammas, Deltas, Epsilons) as
support.

Curiously, there are two allusions to be gleaned
from this failed experiment.  First, Cyprus was the island where Othello went wild with
jealousy.  This too is the failing of an all-Alpha society: they become jealous of each
other.  Just as Othello would rather kill Desdemona than share her with others, so too
do the Alphas strike and fight civil wars than share leadership
positions.

Next, the iceberg analogy is used by Freud.  He
says that we only reveal about one-ninth of ourselves in the form of Ego.  We bury the
other nine-tenths between Superego and Id (with the Id being the bottom-most).  So, the
Utopia of the Brave New World is regulated the same way, by having the masses support
the few, and by only showing one segment of itself while the other segments go
unnoticed.  The population below are happier because they do not ever need to
think:

"The optimum population," said Mustapha
Mond, "is modelled on the iceberg–eight-ninths below the water line, one-ninth
above."
"And they're happy below the water line?"
"Happier than
above it. Happier than your friend here, for example." He pointed.
"In spite
of that awful work?"
"Awful? They don't find it so. On
the contrary, they like it. It's light, it's childishly simple. No strain on the mind or
the muscles. Seven and a half hours of mild, unexhausting labour, and then
the soma ration and games and unrestricted copulation and the
feelies. What more can they ask for?