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albionus said:
At the very least this is how you have a fire sale to clear out old discontinued stock. You don't lop $100 off, introduce the new model at the old price then screw everyone who jumped at that opportunity by dropping the high end model's price $100 a month later and introduce a new gimped $200 cheaper model.

Anyhow, I probably still won't buy an HDDVD even at $100 since as far as I know the movies are still $30-40 and few rental places have them to rent. When they do something about the movie price I'll jump. I am a cheapskate on these matters, I've had the TV for 3 years now but only now got HD cable since it was just $10 or the same as getting a SD DVR I wanted.

You can get unlimited HD-DVD rentals through netflix for like $11/month, or so.  I'm using the unlimited 3-at-a-time plan for $17/month.  Also, you can find new HD-DVD movies for $15 each if you look for sales.

Even if you don't watch much HD-DVD media at first, you get a high end CD player and a high end upscaling DVD player out of this deal.  There's no way to argue that those two features alone aren't worth the price of admission.