YES.

DSP modes such as 5 channel stereo have been a deciding factor for a number of individuals debating between two products where the standard decoding formats (DD, DTS,etc) are essentially equivalent in performance. It would behoove you to not put these modes in if cost were not an issue.

Your product will no doubt compete with new pre/pro (or receiver as pre/pro) units from Sherwood/Newcastle and Sony ES, among others. The Sherwood will no doubt have the minimalist DSP approach perhaps more similar to the Outlaw if the Nays have it, while the Sony will have DSPs to the max. The interesting thing about the Sony DSP is that although there are numerous modes, many of which are quite useless, the Sony Cinema Studio EX modes are quite good. These modes can be applied to DPL, DTS and DD material with effective results. On DPL material the Studio modes are particularly effective IMO and it will be very interesting to see how DPL II compares. Where the level of effect may be adjusted to the nth degree on the Sony, what level of adjustment will there be with DPL II? I suspect that you get what you get.

I have heard the watered down H/K Logic7 (aka Logic5) and while it is better than 95% of the DSPs out there, I much prefer the Sony Studio modes. Also the fact that you cannot apply the H/K Logic5 to DD/DTS material and where the Sony ES could and do it effectively was a deciding factor in my purchase decision to select the Sony product over the H/K. Of course the Lexicon Logic7 is another story but it is at a very different price point.

Four channel music and movie (ie phantom)modes are also quite useful for those that don't have "equal" or matching center and front main speakers as well as those without a center. A four channel music mode similar to Sony's Live House has the desirable effect of preserving the stereo imaging from the front with a more expansive soundfield created by the inclusion of the rears. Again the level of effect and reverb is adjustable to suit ones taste.

My teenager also likes the Stadium/Arena modes. In their words "Mad Cool".

I also believe that most HTers will not discount a product altogether if it has the DSP modes. Just please don't make us cycle thru all fifty of them to switch from stereo to DPL II on the remote.

Good luck with your product intro,
Gil