I would expect signal degradation to be a serious issue on a PC -- if you are running (for example) a 21" display at 1600x1200 resolution on a graphics intensive application (CAD, ...) and staring at it for hour upon hour, you want it as crisp and accurate as possible.
Is the DVI connection analog or digital? I'm not sure about all of the intricacies of the two interfaces, but there is one immediate difference: RGB/VGA is analog, whereas DVI can be digital or analog.
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