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Personally  I think there is a nice difference. I've seen it many times in the store. Yet, I simply can't justify spending 35 bucks on purchasing films, and not having a local store that rents them. And currently the selection is still poor. And I usually buy a film so I can also loan it out to friends and family. I couldn't do that. So despite the nice picture quality, it simply isn't enough to justify a purchase. Perhaps if I had a 65" hdtv lcd screen, then I might want it, but most of the time I end up watching films on one of my 30-something" tvs. Actually I usually end up ripping the movie and loading it onto my Archos AV700 7" screen and watch it on the go. So that realy kills it for me.