Yes, the HD-DVD players will upscale, but from everything that I've read, none of the currently available HD-DVD players have nearly as good of a scaler as the good DVD players like the Oppo or the higher end Denons.

Ask yourself how long you think you will use a good DVD player...at this point the answer should be at least 3 to 5 years, maybe more.

DVDs certainly aren't going away until consumers have a clear choice on which HD media player to go with and that's not likely to happen for at least another 2 years as manufacturers ramp up production on new players. In particular, I don't think that the HD movie formats will make much inroads into the regular consumer market until the major players all have universal HD players and offer them for less than $300.