Here's my two cents, for what it's worth. I have tried both with my set-up and after calibration the component was much better than s-video. My TV is about 20 feet from the rest of the equipment and I have had no problems with any kind of interference. Whatever you do get a set-up disc of some sort, it helps a lot.
Forgot to mention that this is a progressive scan set as well as DVD player I'm not sure how much difference it makes without that.
[This message has been edited by hydro (edited December 07, 2001).]