Don't forget that when the 1050 originally came out it was priced at $600. I'd be very surprised to see the 1050 replacement for less than $650. It really ought to be competitive with other products available in that price range. If it makes any sense logistically I think they should have two receivers, a 5.1 version for say $500 and a 7.1 version for $650.

What I'd like to see is a 7.1 receiver where you could re-assign two of the amplifiers and bi-amp the front main speakers if you wanted to use 5.1 or stereo mode. Of course, the crossover would have to support this.