Well, after going through 3 dvd players in as many years, I decided instead of buying another value priced DVD player, to bite the bullet and go blu-ray. My rationale is that according to articles, the electronics cartel aren't going to allow the price of leading blu-ray players go down to 300 dollars until well into 2009. So If I were to buy another DVD player, I probably would still wind up behind when I eventually did buy a blu-ray player. I'm also guessing there will be a media conversion to blu ray in 2010, at which point new releases will be harder to come by. I'm a traditionalist in the sense I don't like to steal movies or music - so I think the a digital medium being connected to the home theatre is still a few years out, and a few years more before its acceptably turnkey that Mrs. Jones could use it while I'm out. So for the time being, blu-ray is the new medium, and probably the last hard medium for watching movies before downloads finally replace the existing model.
So I picked up one Blu-Ray disc to see how much better it was. Even on my 32 inch 780p, it looked noticeably better to me. The contextual UI is a lot more user friendly, and I put in Batman Begins on DVD to see the up conversion. Also - much improved. It didn't look as good as the blu-ray disc, but much better than when it was played on a traditional DVD player.